Can personal loss be claimed on sale of primary residence when selling to relocate for job that meets distance rule (Moving exp sect lists sale of home loss as example)?

[Howard1948 · Accepted solution]

No.  The loss on the sale of a personal residence is never deductible.  From IRS Publication 521 re Moving Expenses (see last item):

"Nondeductible Expenses

You can't deduct the following items as moving expenses.

• Any part of the purchase price of your new home.

• Car tags.

• Driver's license.

• Expenses of buying or selling a home (including closing costs, mortgage fees, and points).

• Expenses of entering into or breaking a lease.

• Home improvements to help sell your home.

• Loss on the sale of your home."