Recommend Our Site to Your Friends!

Print This Page

Subject:  Gains question
From:  Andrea
Date:  Sat, 05 Nov 2005

I saw your website and was wondering if you could answer a question for me.

My husband and I bought our home in June 2004. We are thinking about relocating to be closer to our families. We would both be able to transfer and keep our current jobs. What are the tax consequences of selling the home before living there for more than two years?

Thanks for your help.

Andrea

Answer

Date:  Mon, 07 Nov 2005

Hello Andrea,

You probably would not qualify for the exclusion of up to $500,000. Look at the details of your situation. After commissions and selling expenses, you might not have much gain to be concerned about.

Good luck!
Mike Gray

We have more answers to frequently asked real estate tax questions! We also offer up-to-date information about new tax real estate tax developments in Michael Gray, CPA's Real Estate Tax Letter.

IRS Circular 230 Disclosure: As required by U.S. Treasury Regulations, you are hereby advised that any written tax advice contained on this website was not written or intended to be used (and cannot be used) by any taxpayer for the purpose of avoiding penalties that may be imposed under the U.S. Internal Revenue Code.