Home sale exclusion

Forum|Forum|4 years ago
March 20, 2022
2 replies
15 views

Is exclusion of gain on sale of residence considered "postponed" gain?

ProSeries Professional

This topic has been closed for replies.

Best answer by qbteachmt

Excluded = doesn't matter.

Deferred = we'll get to it, later.

1031 Exchange = Deferred. Not Excluded.

qbteachmtAnswer

Level 15

Excluded = doesn't matter.

Deferred = we'll get to it, later.

1031 Exchange = Deferred. Not Excluded.

Don't yell at us; we're volunteers

S

suesue1Author

Level 4

Thank you!!

R

rcooley25

Level 7

If it is a married couple who have lived there for the past 5 years and the sale is under $500,000 then the exclusion is permanent.

S

suesue1Author

Level 4

So not considered "postponed"? Won't affect future sale of home where postponed previous gain reduces the basis of home sold? Second home sold doesn't qualify for exclusion because they missed the 5 year mark by 34 days. They had a previous exclusion of gain on home.a few years ago.

taxiowa

Level 8

I trust you both know that it is 2 years that they have to own and live in home. Not 5. So if they barely missed 5 years, that is OK.

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