Tax Guru – Ker$tetter Letter

Helping real people win the tax game.

«
»

Posted by taxguru on March 2, 2005

Q:

Subject: Primary Residence Sale

Hasn’t the capital gains rule of 2 out of aggregate of 5 years rule changed in Oct 2004?  Doesn’t the IRS code now require you to OWN the residence at least 5 years and live in it as principal residence at least 24 of the 60 months before sale?  Or is that just for investment acquisition?  I am darn confused here.

Thanks,

A:

The only change was for residences that were acquired as part of a 1031 exchange.  I discussed it in my blog back in October.

Kerry Kerstetter

This entry was posted on March 2, 2005 at 1:34 PM and is filed under 1031. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.

Sorry, the comment form is closed at this time.

«
»