Im selling my house and it is over a year and less then 2years which is long term capital gain. Total married filing 65000.00. I made profit 100k. Does this need to be added to my income which is 165k? if so looks like tax bracket for income is 12%, however I see our income (without capt gain) is under $77,200 which is 0% tax on capital gain.
If i waited 2yrs resident before selling, still need to add to my income but still dont have to pay capital gain tax?
Can someone please explain how this work?
yes it need s to be reported - you'll probably receive a 1099s
see this to see if you can qualify for a partial exclusion (not owned and occupied for 730 nights in the last 5 years)
to qualify for the full exclusion, you must have used the home you sell as your principal residence for at least two of the five years prior to the sale.
You don't have to spend every minute in your home for it to be your principal residence. Short absences are permitted
You can only have one principal residence at a time. If you live in more than one place—for example, you have two homes—the property you use the majority of the time during the year will ordinarily be your principal residence for that year.
yes it need s to be reported - you'll probably receive a 1099s
see this to see if you can qualify for a partial exclusion (not owned and occupied for 730 nights in the last 5 years)
to qualify for the full exclusion, you must have used the home you sell as your principal residence for at least two of the five years prior to the sale.
You don't have to spend every minute in your home for it to be your principal residence. Short absences are permitted
You can only have one principal residence at a time. If you live in more than one place—for example, you have two homes—the property you use the majority of the time during the year will ordinarily be your principal residence for that year.