DEAR BOB: If I add my 22-year-old son's name on the deed to my home for a 50 percent share, can he and I each claim the $250,000 profit tax exemption for a total of $500,000, providing we both lived in the property for two out of the last five years before the sale? – Paul H. DEAR PAUL: Yes. However, both you and your son must have owned and occupied the home as your primary residences for at least 24 of the 60 months before its sale. Then you each can qualify for up to $250,000 tax-free principal residence sale profits under Internal Revenue Code 121. For full details, please consult your tax adviser. Purchase Bob Bruss reports online. NO LIMIT TO USE OF INTERNAL REVENUE CODE 121 DEAR BOB: Is there a limit to the number of times I can purchase a home, live in it for two out of t...
Get Inman via Facebook Messenger
Our top headlines delivered once a day.