Tax Questions

Members of the Maryland Association of Certified Public Accountants are answering tax questions through April 15.Could you explain the new rule on the exclusion of profit from the sale of a home in or after 1998?Under the Taxpayers Relief Act of 1997, an exclusion for the profit from the sale of a home has no age restrictions, as under the previous law. Single filers may exclude up to $250,000 and married couples filing jointly may exclude up to $500,000. The taxpayer or his/her spouse must have owned the home and both must have occupied it as a principal residence (or lived in the home as the main home)