ANSWERS: 1
  • The tax code says: (Taxable) Gross income shall not include gain from the sale or exchange of property if, during the 5-year period ending on the date of the sale or exchange, such property has been owned and used by the taxpayer as the taxpayer’s principal residence for periods aggregating 2 years or more. If you have lived there for 24 out of the last 60 months, it doesn't matter whether the house is knocked down and rebuilt or not.

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