"Capital Gains - To Qualify You Must Own Your Primary Residence for 2 Years out of 5 Years. Single Exemption: $250,000 - Married Exemption: $500,000."
What are the Exemptions for Capital Gains on house sale with new Tax Laws in 2018?
The new tax bill has many changes to capital gains, but fortunately, there is still a mechanism where selling a home can be excluded.
The IRS has a provision that can help homeowners avoid capital gains on the sale of their primary residence.
To qualify, you must have owned your home and used it as your main residence for at least two years in the five-year period before you sell it. You also must not have excluded another home from capital gains in the two-year period before the home sale. If you meet those rules, you can exclude up to $250,000 in gains from a home sale if you’re single and up to $500,000 if you’re married filing jointly.
If you sell a home that was not a primary residence or that does not meet the above requirements, then you would pay capital gains on that sale.
For additional information, please contact Rosanne Catanzaro, Broker/Owner of Home Station Realty. Tele: 561-703-9420 or email: firstname.lastname@example.org.