Home Selling in 11552>Question Details

Patricia Fos…, Home Buyer in Glen Mills, PA

Capitol Gains Tax

Asked by Patricia Foster, Glen Mills, PA Fri Oct 5, 2012

Five years ago I relocated to another state when I had a great job opportunity, assuming I would have no difficulty selling my Long Island home. Five years later, after having the home on and off the market multiple times, with the tenants from hell in-between, I no longer qualify for the capital gain exclusion as I have not lived in the home 2 out of the last 5 years. Is there any tax relief for situations like this? I was advised that even if I sold the home today for the balance of the mortgage, I would still owe tens of thousands of dollars in capitol gains taxes. Do you have any information otherwise or advice? Thank you!

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4
When it comes to any tax related issues, it's always in one's best interest to consult with a tax professional, and or, tax attorney.....
1 vote Thank Flag Link Fri Oct 5, 2012
Tax consultant (CPA) or tax Attorney is your best bet
0 votes Thank Flag Link Fri Oct 5, 2012
We are Realtors and not tax consultants, you'd be well advised to contact a truly good local tax
consultant or attorney for advice.

Good Luck to you
Sincerely yours,
Edith YourRealtor4Life & Chicago and Northern Illinois Expert

Working always in the very BEST interest of her clients, Buyers, Sellers and Investors alike....
And always with a SMILE
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0 votes Thank Flag Link Fri Oct 5, 2012
Patricia...
I'm in the same boat. IRS Pub 523 tells you everything you need to know, and none of it is good news. There does not seem to be an exemption available for attempted, but unsuccessful sale of home before the 5 year period was up. If you find otherwise, please let me know!! Best of luck...Jim
0 votes Thank Flag Link Fri Oct 5, 2012
Thanks for responding- I will read through the Pub 523 but I am sure that is what my CPA was referencing. Good luck to BOTH of us! I held out until I found a really qualified tenant with guaranteed income and so far so good... keeping my fingers crossed, just can't go through the last tenant nightmare again!! Patty
Flag Sat Oct 6, 2012
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