If a taxpayer excludes the gain on the sale of his personal residence and, within two years, sells a second residence, he or she can exclude (up to $250,000 for a single taxpayer): A) The entire gain...

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Question

If a taxpayer excludes the gain on the sale of his personal residence and, within two years, sells a second residence, he or she can exclude (up to $250,000 for a single taxpayer): A) The entire gain...

If a taxpayer excludes the gain on the sale of his personal residence and, within two years, sells a second residence, he or she can exclude (up to $250,000 for a single taxpayer):

A) The entire gain on the second sale if the sale is due to health, employment reasons or unforeseen circumstances.

B) The entire gain for any reason.

C) A ratio of the days owned divided by 730 days and only if the sale is due to health, employment reasons or unforeseen circumstances.

D) A ratio of the days owned divided by 730 days for any reason.

business accounting

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Answer 1

Answer #1

Since the sale is within two years , he will be able to exclude gain upto $250000 only . It will have to be calculated as a ratio of the days owned divided by 730 days i.e. 2 years and only if the sale is due to unforeseen circumstances i.e. health or employment.

Correct option is C.

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Answer 2

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If a taxpayer excludes the gain on the sale of his personal residence and, within two years, sells a second residence, he or she can exclude (up to $250,000 for a single taxpayer): A) The entire gain...

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If a taxpayer excludes the gain on the sale of his personal residence and, within two years, sells a second residence, he or she can exclude (up to $250,000 for a single taxpayer): A) The entire gain...

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1. Which of the following could qualify as a residence, for personal residence exclusion from gain?...

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If a taxpayer excludes the gain on the sale of his personal residence and, within two years, sells a second residence, he or she can exclude (up to $250,000 for a single taxpayer): A) The entire gain...

Homework Answers

Add Answer to: If a taxpayer excludes the gain on the sale of his personal residence and, within two years, sells a second residence, he or she can exclude (up to $250,000 for a single taxpayer): A) The entire gain...

Post as a guest

Earn Coins

1. Which of the following could qualify as a residence, for personal residence exclusion from gain?...

Which of the following is/are requirements for a married couple to exclude $500,000 of gain from...

Gleim 6 Deductions from AGI [1] Which one of the following expenses does not qualify as...

Add Answer to:
If a taxpayer excludes the gain on the sale of his personal residence and, within two years, sells a second residence, he or she can exclude (up to $250,000 for a single taxpayer): A) The entire gain...