IRS Rulings on Exclusions

On July 8th the IRS issued the following ruling.

Number 201628002, Summary: The IRS ruled that a couple may apply the reduced maximum exclusion under section 121(c) to the sale of a condominium with two small bedrooms, despite having used it as their primary residence for less than two of the preceding five years, finding that their need to move because of the birth of a second child was an unforeseen circumstance.

Posted by Allison Trupp, Associate Editor, Wealth Strategies Journal