Home Sale Tax Preparation,
Without the Stress
Selling a home can be one of the largest transactions you'll ever have, and the tax result may range from no tax at all to a significant capital gain depending on details that are easy to miss. If the property was your main residence, much of the gain may be excluded, and some sales do not even need to be reported. The exclusion has limits, though, and gains on higher-value homes can exceed it. Improvements made over the years may increase your basis and reduce the taxable gain, so those records are worth gathering. Different rules apply if the property was ever a rental, a second home, or an inheritance. Understanding your situation before closing can affect both what you owe and which documents you need to keep.
Our office is located at 12305 Gold Street in West Omaha. Clients who have sold a home choose us because they know the price before work begins and deal directly with one credentialed professional rather than a seasonal tax preparer. Your return is prepared by a CFP® professional, CFA® charterholder, and Enrolled Agent who responds promptly, even during tax season. Once the return is complete, you receive a recorded video explaining the sale, each number reported, and what it means. Payment is not due until your return is ready to file.
Ready to Get Started
Choose the way that works best for you.
Some Situations That Might Apply If You Sold a Home
You sold your main home
The tax code is generous when you sell a home that served as your primary residence. If you owned and lived in the property for at least two of the five years before the sale, you can generally exclude a substantial portion of the gain from tax. Many qualifying sales result in no tax and may not need to be reported at all. The exclusion still has to be claimed correctly, though, and receiving a 1099-S at closing usually means the sale must appear on your return even when the gain is fully excluded. We confirm that you qualify and handle the reporting so you receive the exclusion available to you.
You did not live there a full two years
Life does not always wait for the two-year mark. If you sold before meeting the ownership and use test because of a job relocation, health issue, or another unforeseen circumstance, you may still qualify for a partial exclusion instead of losing it entirely. The reduced exclusion is based on how long you owned and lived in the home, and the qualifying reasons are specific. In these situations, why and when you sold can determine whether part of the gain is taxed or excluded, so the details deserve careful review.
You sold a second home or an inherited home
Not every home sale qualifies for the primary residence exclusion. A vacation home or second home generally does not, which means the gain is taxable as a capital gain, although your basis and selling costs can still reduce the amount. Inherited homes follow different rules and often receive more favorable treatment. The basis is usually adjusted to the property’s value at the date of death, so a home sold soon afterward may produce little or no gain even if it appreciated for decades under the previous owner. In both cases, the result depends on establishing the correct basis, and inherited property is easiest to value while estate records are still available.
We also help with related situations, including brokerage accounts, itemized deductions, and multi-state tax preparation. Or browse every income tax situation we help with.
Prefer to Learn
More First
Take a quick tour of how we work and what makes us different.
Why Choose MTS