You don't have to necessarily have a taxable gain and use Schedule D... and you may not have to report the sale on your tax return as it is reported only if you have taxable gain or
received Form 1099-S.
If you lived and owned your
home for at least two years in the 5 year period on the date of sale - you
don't have to report the on your tax return- if your gain is less than $250,000
if filing Single (and $500,000 for married filing jointly both spouses must
live and own the home for 2 years).
If your gain is larger than the
amounts above (or received 1099-S) you must report the sale:
- Wages and Income
- Select Less Common
Income
- Select Sale of Home