real estate tax is real confusing
Trying to wade through all the tax verbiage (which is no better than legal verbiage) of IRS Publication 523. Lots of hoops and hurdles to reward and punish people’s transactions and behaviors.
I just need a simple answer to a simple question. A friend owns and lives in a house. He’s married, files jointly, and has lived there for 1 year. He’s considering a move to another state about a 1000 miles away.
Can he sell his old house and buy a new one, without getting penalized with gobs of capital gains tax? If so, how, and where does it say so in the IRS publication(s)?