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Section 121 Exclusion

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Hello.

One of my client sold their rental property back on 2018 that they leaved there for 10 years and rented for 2 years, And they did not take section 121 exclusion back on 2018 and they paid capital gain , my question is can we file amended tax return and take section 121 exclusion for 2018 and get their refund.

Thanks,

Khalid

ProSeries Professional

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Just-Lisa-Now-Answer

Intuit Community Champion

looks like you will have some nonqualified use in the 5 year period, but should be able to get some of the exclusion.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

Intuit Community Champion

Intuit Community Champion

I dont know why not.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

Level 15

When did they move out, and when did they sell?

Level 3

Thank you Bob for a quick respond , they moved out 2016 and sold the property on 07/20/2018.

Thanks.

Intuit Community Champion

Answer

Intuit Community Champion

looks like you will have some nonqualified use in the 5 year period, but should be able to get some of the exclusion.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪

Level 13

2018 1040s can be amended through 4/15/2022 or 10/15/2022, if extended.

** I am "Elevating with Intention!"

Level 3

Thank you Man.