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Level 1
posted Jan 26, 2022 10:59:26 AM

Capital Gains on Matrimonial Home

If I moved out of the matrimonial home due to a breakdown in marriage, back to my original home (I owned 2) prior to the sale of the matrimonial home but had many of my possessions still at the matrimonial home until the sale of the home - is the matrimonial home still considered selling of primary residence? 

 

In addition, what if I left the matrimonial home prior to the 2 year mark for owning the matrimonial home prior to selling?

 

(Ontario Canada)

0 3 399
3 Replies
Expert Alumni
Jan 26, 2022 11:33:40 AM

If it was your main home that you lived in 2 out of 5 years, you may not need to report the house sale at all. See Topic No. 701 Sale of Your Home.

If you lived in the home less than two years, you may qualify for one of the exceptions. For further information and examples, see IRS Publication 523, Selling Your Home.

 

Level 1
Jan 26, 2022 11:39:59 AM

Does this information hold true for Ontario Canada?

Expert Alumni
Jan 26, 2022 11:56:48 AM

It depends. If this home is in Ontario, Canada, you are subject to the Canadian Tax Law, which is out of scope for this service since we deal strictly with the US Tax Code.