No taxes on personal home sell??

[cmoneyt8ker]

Ok I know there is a rule about selling your primary residence once every two years and it is excluded from capital gains tax. My question is can you do it once every two years or does the two years start after I purchase my home. Confusing I know let me give an example:

I bought a house in December 07. It was my first house. Can I sell it now and not pay capital gains? Then obviously on my next house I will have to wait two years. I am still using the "every two years" rule in my scenario. I hope I have explained this well enough...

 

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[MJ DeMarco]

December 09 will be 2 years and I believe so. $250K if single, $500 if married.

1. You owned the residence for any two of the last five years.
2. You occupied your residence for any two of the last five
years.
3. You haven't used the exclusion within the last two years.

DISCLAIMER: I'M NOT AN ACCOUNTANT - CONTACT QUALIFIED PROFESSIONAL.

 

[CactusWren]

Same disclaimer. I believe the above is correct. So, the max gains allowed "tax free" are the 250K and 500K respectively. Anything over that and you pay tax...

You can do it every 2 years.