Further clarification is needed here.
if you sold your primary personal residence and you lived in and owned the home for at least two years in the five year period prior to the date of sale, you do not have to report the sale if your gains are less then the exclusion amounts of $250,000 if filing Single or $500,000 if filing Married Filing Jointly.
If you receive a 1099-S reporting any proceeds from the sale, then you *must* report the sale on your tax return, regardless of weather you sold at a loss or a gain, and regardless if you are above or below the exclusion amount.
