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by CareyBot

DEAR BOB: Suppose several people own and occupy a property as their primary residences. Is there a limit to the number of people who can claim that $250,000 tax exemption on a home sale? --Bob A. DEAR BOB: There is no limit to the number of individual $250,000 principal residence sale tax exemptions if all the titleholders meet the 24 out of last 60-month ownership and occupancy tests of Internal Revenue Code 121. Purchase Bob Bruss reports online. For example, suppose four people hold title and occupy a house as their principal residence for the required 24 of the last 60 months before its sale. They each then qualify for up to $250,000 tax-free capital gains on their personal tax returns (a total of $1 million tax-free capital gains in this example) when the home is sold. For more detail...