Tax Treatment on the Sale of a Primary Residence: Rules, Exclusions, and Rental Conversion
For many homeowners, the sale of a primary residence qualifies for one of the most valuable tax breaks in the Internal Revenue Code: the Section 121 Home Sale Exclusion. Understanding how the rules work can help you minimize capital gains tax and avoid costly surprises. According to the IRS, eligible taxpayers may exclude up to $250,000 of gain ($500,000 for married couples filing jointly) from the sale of their principal residence
Read article →