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One of the best tax breaks available 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). However, in order to qualify, you must own and use the home for two out of the five years before the sale date. What if you're forced to move before that time? You still might be able to exclude the home sale profit by claiming a partial gain exclusion. Click "Full Article" to find out the rules.
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Baden Business News is provided with the understanding that it does not provide an accounting, tax or legal service. Contact a qualified professional with any questions or concerns about the information presented in this newsletter to investigate how it may apply to your specific situation. Tax articles in this e-newsletter are not intended to be used, and cannot be used by any taxpayer, for the purpose of avoiding accuracy-related penalties that may be imposed on the taxpayer.