Are the proceeds of my home sale counted as income even though they are not taxable (under $250,000?)

kelly7 — Thu, 06 Jun 2019 00:16:50 GMT

If you are eligible to exclude the gain on the sale of yo...

Coleen3 — Thu, 06 Jun 2019 00:16:51 GMT

If you are eligible to exclude the gain on the sale of your personal primary residence, you do not have income.

If you meet the qualifications to use the exclusion, any gain over that amount is a capital gain. The exclusions are $250,000 for single, and $500,000 for married filing jointly. See the rules below.

Does Your Home Sale Qualify for Maximum Exclusion

The tax code recognizes the importance of home ownership by providing certain tax breaks when you sell your home. To qualify for these breaks, your home must meet the Eligibility Test , which is explained later.

How your sale qualifies. Your sale qualifies for exclusion of $250,000 gain ($500,000 if married filing jointly) if all of the following requirements are met.

You owned the home and used it as your main home during at least 2 of the last 5 years before the date of sale.

You didn’t acquire the home through a like-kind exchange (also known as a 1031 exchange), during the past 5 years.

You didn’t claim any exclusion for the sale of a home that occurred during a 2-year period ending on the date of the sale of the home, the gain from which you now want to exclude.

topic Are the proceeds of my home sale counted as income even though they are not taxable (under $250,000?) in Deductions & credits

Are the proceeds of my home sale counted as income even though they are not taxable (under $250,000?)

If you are eligible to exclude the gain on the sale of yo...