The sale of your home is
entered in income section, while some deductions on your home purchase are
entered in Deductions and Credits. Please read below, though, you may not have
to enter the sale...
Home Sale
The sale
of your home is reported only if you have taxable gain or
received Form 1099-S.
If you lived and owned your
home for at least two years in the 5 year period on the date of sale - you
don't have to report the on your tax return- if your gain is less than $250,000
if filing Single (and $500,000 for married filing jointly both spouses must
live and own the home for 2 years).
If your gain is larger than the
amounts above (or received 1099-S) you must report the sale:
- Federal Taxes
- Wages and Income
- Select Less Common
Income
- Select Sale of Home
Home Purchase
Although the purchase of your
new home is never reported on your tax return, you can still deduct home mortgage interest, real estate
taxes, Primary Mortgage Insurance and Points paid on your purchased home. You should be receiving Form 1098
and, if not all items paid are listed, you may look at your HUD-1 statement.
You may also be receiving Form 1098 for your original house (the one you sold)
and you can deduct the above items as well.
- Federal Taxes
- Deductions & Credits
-
Your Home - you may choose: Mortgage Interest and
Refinancing, Points, Real Estate Taxes or Mortgage
