For the years after 1981, each married or common law couple may only designate one housing unit as their principal residence
in a given year.
Further, the first use of the above improvements must begin with the taxpayer, and such improvements must be installed in a home which is owned by the taxpayer and used as the taxpayer's principal residence
, and such home must be located in the U.
If your principal residence
has appreciated in value beyond the $500,000 gain exclusion provided under Section 121 of the IRS code, are you stuck paying taxes on the profits over $500,000?
Prior to changes made under the Taxpayer Relief Act of 1997 (TRA 1997), taxpayers were allowed to defer recognition of gain on the sale of their principal residence
under Section 1034, provided they reinvested the proceeds from the sale in another residence.
The new rules also will give needed relief to the spouse (or ex-spouse) who has vacated the principal residence
but has not yet sold his or her interest.
The Puerto Rico Fixed Income Fund's Principal Protected Notes may be purchased by or transferred exclusively to individuals having their principal residence
within the Commonwealth of Puerto Rico and to persons, other than individuals, organized under the laws of Puerto Rico and whose principal office and principal place of business are located within the Commonwealth of Puerto Rico.
A house that a married couple continued to use while trying to sell it was their principal residence
during that period; therefore, they did not meet the timing requirement to qualify for an $8,000 first-time homebuyer credit when they purchased a new house, the Tax Court held.
108(a)(1)(E) excludes from gross income qualified principal residence
indebtedness discharged after 2006 and before January 1, 2013.
Under this new law, an individual taxpayer who is a first-time homebuyer of a principal residence
in the United States is allowed a refundable tax credit equal to the lesser of:
Under this provision, an exchanger who performs an IRC [section] 1031 tax deferred exchange into a rental house as replacement property, which is later converted into the exchanger's principal residence
, is not allowed to exclude gain under the principal residence
exclusion rules of IRC [section 121 unless the sale occurs at least five years after the closing date of the replacement property purchase.
The amount of the reduction is equal to the proportion of the capital gain that is attributable to years that the property is designated as a principal residence
relative to the total number of years the property was owned; i.
The Taxpayer Relief Act of 1997 allows taxpayers to exclude up to $250,000 of gain ($500,000 for married couples filing a joint return) realized on the sale or exchange of a principal residence
occurring after May 6, 1997.