Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
fstatck
New Member

If I sale a house, to get the married exlussion of $500,000. Do I need to be married prior to the sale or during that tax year?

We need to figure out if we need to get married before the house sells, or can we wait and get married later in the same year to claim the married $500,000 exclusion.

1 Best answer

Accepted Solutions
DoninGA
Level 15

If I sale a house, to get the married exlussion of $500,000. Do I need to be married prior to the sale or during that tax year?

You both must have lived in and owned the home for at least two years in the five year period on the date of sale to get the $500,000 exclusion when married filing jointly.  If you sell the home before the two year period and only one of you lived in and owed the home for two years, then your exclusion will be $250,000.

See IRS Publication 523 Selling Your Home - https://www.irs.gov/pub/irs-pdf/p523.pdf

View solution in original post

1 Reply
DoninGA
Level 15

If I sale a house, to get the married exlussion of $500,000. Do I need to be married prior to the sale or during that tax year?

You both must have lived in and owned the home for at least two years in the five year period on the date of sale to get the $500,000 exclusion when married filing jointly.  If you sell the home before the two year period and only one of you lived in and owed the home for two years, then your exclusion will be $250,000.

See IRS Publication 523 Selling Your Home - https://www.irs.gov/pub/irs-pdf/p523.pdf

Privacy Settings
v