ColeenD3
Expert Alumni

Investors & landlords

Yes, you qualify for a partial exclusion, but you are only looking at 30 days/1 month worth of proration.

 

From the Worksheet 1 in Pub 523:

 

Step 1)

Determine the shortest of the following 3 periods: 

 1. Your time of residence in the home during the 5-year period leading up to the sale_____

 2. Your time of ownership of the home leading up to the sale_____

 3. The time that has elapsed between the sale and the date you last sold a home for which you took the exclusion if you had done so

 

Step 2

Take the smallest period from Step 1 (you may use days or months) and divide that number by 730 (if using days) or 24 (if using months)

 

Pub 523