topic How does buying/selling a home affect my taxes? in Get your taxes done using TurboTax

How does buying/selling a home affect my taxes?

BK03 — Tue, 10 Mar 2026 07:01:22 GMT

Spouse and I Sold our primary residence. Captured less than $500,000 in gains. What is the impact on my taxes? What version of turbo tax do I need? Where in the tool will I enter the info?

Re: How does buying/selling a home affect my taxes?

leeloo — Wed, 16 Nov 2022 17:31:25 GMT

As long as you meet the qualifications, there are no tax consequesnces. You may not even need to include it on your return.

https://ttlc.intuit.com/turbotax-support/en-us/help-article/personal-income-taxes/money-made-home-sale-taxable/L17WWqsy5_US_en_US

Re: How does buying/selling a home affect my taxes?

LaceyL — Wed, 16 Nov 2022 17:36:48 GMT

What a great question!

You can exclude $250,000 ($500,000 for married filing joint) on the sale of a house if:

You owned the house 2 or more of the last 5 years
Lived in the house as a primary residence 2 or more of the last 5 years

If you have both lived in and owned the house for 2 of the past 5 years, you will have no tax effect if you file jointly and have less than $500,000 gain on the sale. There are some exceptions, like having reported a home office or used it as a rental.

You will use the same TurboTax you would use without the sale of the house, assuming the gain is all excluded.

For more information, here is a great article on the subject Tax Aspects of Home Ownership: Selling a Home

Re: How does buying/selling a home affect my taxes?

BK03 — Wed, 16 Nov 2022 17:46:03 GMT

Thank you

Re: How does buying/selling a home affect my taxes?

dhln — Wed, 16 Nov 2022 19:04:43 GMT

What does "2 in the last 5 years" mean?

Can I sell and receive the 250k/500k once I hit 2 years or do I have to wait till 5 years?

Re: How does buying/selling a home affect my taxes?

leeloo — Wed, 16 Nov 2022 19:08:21 GMT

If you sell your home in 2022, you must have owned and lived in the home for two years during the five prior years. Meaning, if you sold it on 6/15/22, the five years extend back to 6/15/2017, leap years not withstanding.