The Motley Fool Discussion Boards

Previous Page

Financial Planning / Tax Strategies


Subject:  Re: calculating basis on home Date:  12/20/2013  5:04 PM
Author:  ptheland Number:  119745 of 127519

Do the improvements have to be adjusted to your property tax basis to qualify


or can they be unpermitted work such as new doors and fixtures, new floors, countertops, etc?


And having read your related question on another board, also keep in mind that your principal residence will qualify for an exclusion of $250k of gain ($500k if you're married) providing you have owned and used it as your principal residence for at least 2 out of the 5 years before selling. So your 2011 purchase should qualify at this point.

That can make many questions about improvements unimportant. If the entire gain would be excluded without considering any improvements, worrying about documenting and including improvements is unnecessary.

Copyright 1996-2018 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us