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1.
How much of a loss on your home can you deduct on your tax return?
None of it. Unlike with other investments, you cannot deduct a loss on the sale of your home.
2.
In order to qualify for the entire capital gain exclusion allowed on a home that you sell, you must have lived in it for a total of how many years?
2. This figure is an aggregate total.
3.
If you do not meet the use test for exclusion of capital gains on your home, can you receive a partial exclusion under any circumstances?
Yes. You can receive a partial exclusion if you sell the house because of a change in employment, health, or other special circumstances, even if you do not meet the use test. For these circumstances, you can receive a portion of the exclusion based on the time of the two- year period you did live in the house.
4.
Unmarried people who jointly own a home do not qualify for the capital gain exclusion when they sell the home.
False. Providing they each meet the "use" test, unmarried people who jointly own a home DO qualify for the exclusion.
5.
In the event that you live in your home for less than two years before selling it, you can get your home's capital gains partially excluded from taxes in which of the following situations?