Sold home 06/14/2024 at Seattle and moved in Atlanta and bought home 11/04/2024. When I entered this date, the Turbotax shows correct it and cannot proceed next step.

[yu-jiyong]

The date Bought and Sold is correct, but Turbotax require verify and correct the dates. It looks like a nonsense for me that should I buy a new home first and then sell home all the time?

[KrisD15]

To clarify

Why are you entering the purchase date for your new home? 

Is this in the section for reporting the sale of your old house or for entering Form 1098 reporting Mortgage Interest or something else?

[yu-jiyong]

Thanks KrisD15,
Replied by email I received and it looked like "noply" and undelivered.
My question is for reporting sold old house(Closing 6/14/24) in Seattle and moved to Atlanta. Stayed at rent house temporarily until I find a new house and bought new house(Closing 11/4/24). When I input this date, Turbotax shows varify and correct date due to sale date is before buy date and cannot proceed next step.  

[DianeW777]

It depends. The purchase of a new home is not a taxable event and nothing should be entered for the new home. Enter only the sale of  your home in Seattle using the steps below.  If you qualify for the home sale exclusion, you may not have to pay tax on the gain.

To enter your sale in TurboTax, follow these steps. 

Click this link for more information. Where do I enter Investment Sales?

1. Open or continue your return.
2. Navigate to the investment sales section:
   • TurboTax Online/Mobile: Go to investment sales. If using this application, make sure it is open
   • TurboTax Desktop: Search for  home sale and then select the Jump to link.
3. Answer Yes to the question Did you sell any of these investments in 2024? (or Okay! to Time to kickoff your investments!).
   • If you land on  the Investment sales summary or Your investments and savings screen, select Add More Sales or Add investments.

TurboTax will walk you through the questions to determine if you qualify for the exclusion, requirements are shown here.

Key Eligibility Requirements: IRS Publication 523

1. Ownership: If you owned the home for at least 24 months (2 years) out of the last 5 years leading up to the date of sale (date of the closing), you meet the ownership requirement. For a married couple filing jointly, only one spouse has to meet the ownership requirement.
2. Use: If you owned the home and used it as your residence for at least 24 months of the previous 5 years, you meet the residence requirement. The 24 months of residence can fall anywhere within the 5-year period, and it doesn't have to be a single block of time. All that is required is a total of 24 months (730 days) of residence during the 5-year period. Unlike the ownership requirement, each spouse must meet the residence requirement individually for a married couple filing jointly to get the full exclusion.
3. Look Back Period: If you didn't sell another home during the 2-year period before the date of sale (or, if you did sell another home during this period, but didn't take an exclusion of the gain earned from it), you meet the look-back requirement. You may take the exclusion only once during a 2-year period.
4. Exceptions - May not apply to you and can be reviewed at the link above.

[yu-jiyong]

Got it! Purchase a new house at Atlanta is not a taxable event. Lived for 6 years and married joint ownership and I may get deduction $500k. Appreciated!