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Investors & landlords
Basically, if you did not live in the home as your primary residence for at least 2 years (730 days) of the last 5 years (1826 days) you owned it, counting back from the closing date of the sale, then you do not qualify for any exclusion. However, there are some exceptions that "may" qualify you for a partial exclusion. See IRS Publication 523 at https://www.irs.gov/pub/irs-pdf/p523.pdf and read the section, "Does Your Home Qualify for a Partial Exclusion" starting on page 6 of that document.
If you are AD/MIL, let us know, as that day count suspension rules may (or may not) apply here.
‎February 12, 2023
11:18 AM