Partial Tax Exclusions for Home Sales

Home Sales and Partial Tax ExclusionsArguably one of the best tax breaks available has to do with home sales. The tax break we are referring to is the ability to avoid tax when selling a principal residence — up to $500,000 of gain is potentially tax-free
for married couples filing jointly ($250,000 for single filers).

In order to qualify though, you must own and use the home for two out of the five years before the sale date. Now you are probably wondering “What if I’m forced to move before that time?” Well, you could still be able to exclude the home sale profit by claiming a partial gain exclusion. Find out more details here.