I sold my principal residence this year. What forms are required to be filed with my tax return?
For home sales that occur after May 06, 1997, you will generally only need to report the sale of your home if you realized a gain on the sale and either you did not own and use the home as your principal residence for a total of at least two years during the five year period that ended on the date of the sale or you realized a gain of more than $250,000 ($500,000 for certain married filing joint returns).
You may be entitled to exclude the gain realized on sale of your principal residence from income if during the 5-year period ending on the date of the sale:
- You owned the home for a total of at least 2 years; the 2 year period need not be continuous (the ownership test).
- You must have lived in the home as your main home for a total of at least 2 years; the 2 year period need not be continuous (the use test).
- During the 2-year period ending on the date of sale, you did not exclude gain from the sale of another home.
Contact our individual taxation department with any questions.