• LinkedIn
  • YouTube
  • Twitter
  • Facebook
  • Google+

Splitting up the home sale exclusion

by on
in Small Business Tax,Small Business Tax Deduction Strategies

Q. My husband and I are getting a divorce. If we sell our home afterward, can we still claim the home sale exclusion? L.C., Stamford, Conn.

A. Probably, yes. To qualify for the home sale exclusion, you must have owned and used the home as your principal residence for two of the previous five years. If you aren’t divorced by the end of the tax year, you can file a joint return and claim an exclusion of up to $500,000. Either spouse may meet the ownership test, but both must meet the use test. If you file separate returns, the exclusion is limited to $250,000 each.

Tip: Have your attorney work out the details in your divorce agreement.

Like what you've read? ...Republish it and share great business tips!

Attention: Readers, Publishers, Editors, Bloggers, Media, Webmasters and more...

We believe great content should be read and passed around. After all, knowledge IS power. And good business can become great with the right information at their fingertips. If you'd like to share any of the insightful articles on BusinessManagementDaily.com, you may republish or syndicate it without charge.

The only thing we ask is that you keep the article exactly as it was written and formatted. You also need to include an attribution statement and link to the article.

" This information is proudly provided by Business Management Daily.com: http://www.businessmanagementdaily.com/32302/splitting-up-the-home-sale-exclusion "

Leave a Comment