Can I get a capital gains exemption for selling a principal residence even if I'm not a US citizen or permanent resident?

August 15, 2005

From:  Jack
Date:  Tue, 19 Jul 2005

I bought my house in January, 2004. I have to sell it because I have to re-locate to Taiwan for job reasons. I assume I can apply for a partial $250,000 exclusion. Is that true? I am not a U.S. citizen nor a permanent resident.

I need someone to write a letter to help me avoid California tax withholding for the sale. Who should I turn to, a CPA or an attorney?

Best regards,



Date:  Mon, 08 Aug 2005

Although you don't have the legal immigration status as a permanent resident, it appears to me you may be taxable as a resident. I suggest that you consult with a CPA who is familiar with the taxation of aliens in the U.S.

I am not aware of any restriction where nonresident aliens aren't eligible for the exclusion from the sale of a principal residence.

Either a CPA or tax attorney can write the letter that you need.

Good luck!
Mike Gray

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