Single seniors must file a tax return when their taxable income is over $14,700 in 2022. In the scenario that you presented, your taxable income would be approximately $1,109.00. However, you have other considerations.
Capital gains are taxable but included in the $14,700
Sale of a home could be taxable but there are some exclusions that could potentially make that transaction not taxable for you. You said long term home so I assume you have lived in the home at least 2 of the past 5 years and never rented this home out.
If you receive an informational income-reporting document such as Form 1099-S, Proceeds From Real Estate Transactions, you must report the sale of the home even if the gain from the sale is excludable. Additionally, you must report the sale of the home if you can't exclude all of your capital gain from income.
Also, As long as you owned and lived in the home for two of the five years before the sale, up to $250,000 of profit is tax-free. And if you're married and file a joint return, that amount doubles to $500,000. If your profit from the sale is more than that, the excess is reported as a capital gain.
Low income could mean that you have a very low to $0 tax rate.
If you need additional assistance, please come back to this forum.
@busterose
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