Indiana Filer
Senior Member
What is the name of your state (only U.S. law)? Indiana
How much time does someone need to stay at a residence to be able to claim it as the primary residence? We've been given a home and some land, and will want to sell it some time in the future. Because it was gifted to us, our basis in the property is very low. My understanding is that we do not have to pay capital gains tax if we have lived on the property for two of the last five years of ownership.
One of us stays there three nights per week, and uses that address. The other nights are all spent at our house. If we continue to do this for a total of two years, would that be adequate to say he lives there in order to not have to claim the capital gains? Or should I plan on selling my current house, and both of us move over there for a period of two years?
Thanks.
How much time does someone need to stay at a residence to be able to claim it as the primary residence? We've been given a home and some land, and will want to sell it some time in the future. Because it was gifted to us, our basis in the property is very low. My understanding is that we do not have to pay capital gains tax if we have lived on the property for two of the last five years of ownership.
One of us stays there three nights per week, and uses that address. The other nights are all spent at our house. If we continue to do this for a total of two years, would that be adequate to say he lives there in order to not have to claim the capital gains? Or should I plan on selling my current house, and both of us move over there for a period of two years?
Thanks.