My ex wife and I own a house together. If she refinances and pays me off do I owe capital gain taxes? I am remarried.

[donnagee]

Ex wants to keep house and I want out.  Do I need to re-invest the pay off to avoid tax penalties?

[DDollar · Accepted solution]

No, that is not taxable.  You would be receiving your share of the equity in the house, which is not a taxable event after divorce.

[donnagee]

Thanks!

[DDollar]

You're welcome.  Thanks for using TurboTax.