Publication 523

A form published by the IRS explaining tax treatment of the sale of one's home. The publication shows, for example, how to calculate profit (or loss) from the sale, which can affect one's tax liability.

References in periodicals archive ?

An example of that, unrelated to business, is the list of home improvements is on Page 12 of IRS Publication 523, Selling Your Home.

While you were gone: things you may have missed during tax season

For more information see IRS Publication 523, Selling Your Home.

Home office deductions: computing the limitations on home office expenses

It is included on Worksheet 2 in IRS publication 523, entitled "Selling Your Home," and is reported on Schedule D, line 19.

Home-office deduction dilemma: to deduct or not

The instructions to the form, in combination with Publication 523, are generally complete and, with some minor exceptions, comprehensible.

Line 4 instructs taxpayers not to include "personal property items that you sold with your home." Neither the instructions nor Publication 523, however, define "personal property." Examples of includible items (such as fixtures) and excludable items (such as lawn implements) should be included in the instructions.

Form 2119, Sale of Your Home

IRS Publication 523, Selling Your Home, offers the following examples of such costs: abstract fees; charges for installing utility lines; legal fees (including fees for the title search and preparing the sale contract and deed); recording fees; survey fees; transfer taxes; owner's title insurance; and any amounts the seller owes that the buyers agree to pay, such as certain real estate taxes, back interest, recording or mortgage fees, charges for improvements or repairs, or sales commissions.