Homeowners Tax Haven
You can forget about the old, confusing IRS regulations on tax breaks when you sell your principal home. Forget about the once in a lifetime exemption of up to $125,000 in profits for those over 55 years of age. Forget about having to buy or build another house within two years of the sale which cost as much or more than the one you sold in order to defer paying capital gains taxes. The new look is here and it is great for homeowners!
The lastest tax law now allows homeowners to avoid paying taxes on the first $250,000 of profits on a home if they are single, or on the first $500,000 of profits if they are married at the time they sell the home.
Because a homeowner can use the exemption repeatedly, as long as he or she lives in each hose for at least two years, most will never have to pay taxes on profits from home sales. This change exempts over 99% of home sales from capital gains taxes.
