Certified Public Accounting for Your World.
Our firm provides quality, personalized certified public accounting services to owners of new business startups and existing small businesses. We specialize in “plain talk” accounting!
MONTHLY BIZ TIP
HOME SALE GAIN EXCLUSION – Unforeseen Circumstances
Congress allows a generous exemption from tax on gain realized from the sale of a personal residence. Excludable gain amounts to $500,000($250,000 singles) for those who have occupied their residence for two of the last five years. If this condition is not met, the exclusion is generally denied. The following is a list of specific situations that the IRS has ruled are “unforeseen circumstances”, allowing prorata exclusion of gain. While Letter Rulings can’t be cited as precedent, they give a good idea of IRS thinking.
| Description | Ltr. Rul. | |
| Criminal activities in the neighborhood, including assault and threats to the taxpayer’s son. | 200601009 | |
| Taxpayer’s move to school district where children attend school after remarriage. | 200601022 | |
| Move to a new home where taxpayer’s child and grandchild could also live. | 200601023 | |
| Buying a larger home to comply with state adoptions requirements. | 200613009 | |
| Death threats made to a police officer. | 200615011 | |
| Unmarried taxpayers sell jointly owned home that is not big enough for expected child. | 200652041 | |
| Excessive airport noise where taxpayer did not receive required notice from sellers or realtor. | 200702032 | |
| Buying a home to accommodate medical needs of taxpayer’s mother-in-law. | 200623024 | |
| Taxpayer sells home after remarriage to buy larger home for second wife and children. | 200725018 | |
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Thank you for taking the time to find out more about our firm and the quality accounting & financial services we provide to our growing list of loyal clients. Call today to schedule your complimentary, no cost, no obligation, initial consultation.
Our firm provides quality, personalized certified public accounting services to owners of new business startups and existing small businesses. We specialize in “plain talk” accounting!
About Our Clients
Our clients typically have organized one or more Nevada or Wyoming corporations, LLC's, LP's and/or Trusts within which to operate. The goals important to our clients include asset protection, privacy and minimization of overall taxes. We work closely with them, and other advisors they may consult with, to prioritize and achieve these goals.
Because our clients are situated worldwide, we are adept at working by telephone, email and internet linkup. We have experience working with a wide range of industry types, including:
- Professional services and consulting firms
- Real estate investors
- Web-based businesses
- Securities investors
- Medical services organizations
- Property management companies
- Construction companies
- Retail operations
- Multi-level marketing firms
- Sales organizations
- Royalty management companies
- Not-for-profit organizations
