Capital gains on home sale- where to start.
[ I found what I need in the Tax Facts About Capital Gains Sticky and IRS Pub 523 ]
I bought a home in 1997, lived in it until 2004. Then I moved, and moved back in 2006 for a bit, then I moved to Spain where I've been almost 11 years.
Usually my taxes are easy as I have no US income, am a legal resident of a foreign country, and my foreign earned income is low enough to exempt all of it.
But, I sold the house in September- it was getting to be too much expense to keep.
I assume that because it was not my main residence for the last 5 years i have to pay gains on it, even though I have been renting abroad, lived in the house 7 years, and used it as my residence whenever I was in the states.
I understand that I can get a portion of the 250k home-sale exemption based on the amount of time I've spent in the house the last 5 years? Been in it approx 6 months in the last 5 years (%10), so I suppose I can deduct about 25k of my gains.
Can someone point me to the correct and current instructions on how to get started with calculating my capital gains tax this year (living abroad I have until mid june to finish up).
Last edited by DrJBN : 05-12-2017 at 04:59 AM.