It was true until the tax code changes in 1997. The once-in-a-lifetime, over 55, $125K capital gains exclusion was repealed and replaced with the more liberal and flexible 2-year rule we have today.
The capital gains on your primary residence if you have lived in it for 2 of the last 5 years is exempt from $250,000.00 in profit on sale if single,$500,000.00 if married.You can sell tax free every 2 years.
One more thing on this, hope not to beat a dead horse or sound ignorant, I just don't want tomess it up. Is there a special form to claim exclusion or do you just not report on your return. I have recently sold my condo which I lived almost three years, and have not recived any tax info from the sale. Where do I get this from, the title co. that closed? Thanks again for any help on this matter.
If you do not meet the requirements for capital gains exclusion, the title company reports your sale to the IRS and gives you a 1099-S. If you did not get a 1099, then you do not report the sale on your tax return.
It was true until the tax code changes in 1997. The once-in-a-lifetime, over 55, $125K capital gains exclusion was repealed and replaced with the more liberal and flexible 2-year rule we have today.
http://www.thecreativeinvestor.com/modules.php?name=News&file=article&sid=415
The capital gains on your primary residence if you have lived in it for 2 of the last 5 years is exempt from $250,000.00 in profit on sale if single,$500,000.00 if married.You can sell tax free every 2 years.
One more thing on this, hope not to beat a dead horse or sound ignorant, I just don't want tomess it up. Is there a special form to claim exclusion or do you just not report on your return. I have recently sold my condo which I lived almost three years, and have not recived any tax info from the sale. Where do I get this from, the title co. that closed? Thanks again for any help on this matter.
If you do not meet the requirements for capital gains exclusion, the title company reports your sale to the IRS and gives you a 1099-S. If you did not get a 1099, then you do not report the sale on your tax return.