rbynaker
Level 14
10-31-2024
11:06 AM
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@Just-Lisa-Now- wrote:
thank you!
I have people with long term rentals that think they can move in for 2 years and sell and get the full exclusion, Ive been telling them they need to be there the full 5 years for that plan to work, so I AM giving correct advice.
No, they needed to have moved in before 1/1/2009 to exclude all of the gain (or as Bill said, not move back in at all and still meet the 2-out-of-5 year rule). Otherwise there will be a period of non-qualified use resulting in a prorated gain.
Rick