Sale of Personal Residence

Publisher
WiseGuides, Inc.
2796 Greenspire Ln
Akron, Oh 44333
Copyright © 2010

Field of Study: Taxes
Level: Basic
Recommended CPE Credit 3 hours
Prerequisites: None
Advanced Preparation: None
Type of Delivery: Self-Study
Expiration: Course expires 1 year after purchase
Course Update: June, 2010
Accreditation: QAS, NASBA, IRS, CTEC, OTPB
Guarantee/Complaint Resolution

Course Outline


Lesson 1 - Sale of Main Home
Learning Objectives 1
Main Home
More Than One Home


Lesson 2 - Gain or Loss on the Sale
Learning Objectives 2
Gain or Loss
How To Figure Gain or Loss
Jointly Owned Home
Trading Homes
Foreclosure or Repossession
Abandonment
Transfer to Spouse


Lesson 3 - Basis of Home
Learning Objectives 3
Basis
Cost As Basis
Construction
Basis Other Than Cost
Home Received From Spouse
Inherited Home
Home Received in Trade
Destroyed or Condemned
Adjusted Basis
Improvements
Repairs
Recordkeeping
Discharges of Debt
First-Time Homebuyer Credit


Lesson 4 - Excluding the Gain
Learning Objectives 4
Exclusion
Maximum Amount of Exclusion
Reduced Maximum Exclusion
Primary Reason
Change in Place of Employment
Health
Unforeseen Circumstances
More Than One Home Sold


Lesson 5 - Ownership and Use Tests
Learning Objectives 5
Meeting Tests
Period of Ownership and Use
Tests Met at Different Times
Members of Services
Exception for Individuals
Previous Home Destroyed
Married Persons
Business Use or Rental of Home
During Year of Sale
Special Situations


Lesson 6 - Reporting the Gain
Learning Objectives 6
How to Report Gain
Installment Sale
Seller-Financed Mortgage
Illustrated Example
Real Estate Taxes
Form 1099-S
Transfer Taxes
Recapture of Federal Subsidy
Loans Subject to Recapture
Federal Subsidy Benefit
Sale or Other Disposition
When the Recapture Applies
Recapture Does Not Apply
Notice of Amounts

Course Objectives

Lesson - 1
After completing Lesson 1, you will be able to:
  • Determine if land can be excluded from the sale of a residence
    • How to get a "quick-study" overview of the course material:
  • Pay particular attention to paragraphs marked by the Wiseguy. He'll guide you to key issues.

Lesson - 2
After completing Lesson 2, you will be able to:
  • Figure the trade as a sale and a purchase when a taxpayer trades an old home for another home
  • Apply the rules for a foreclosed on home
Lesson - 3
After completing Lesson 3, you will be able to:
  • Identify what to include in the basis of a home
  • Identify the rules of the first-time homebuyer credit for 2008, 2009, and 2010
  • Determine the basis of an inherited home
Lesson - 4
After completing Lesson 4, you will be able to:
  • Determine who qualifies for the maximum exclusion of the gain on the sale of a main residence

Lesson - 5
After completing Lesson 5, you will be able to:
  • Identify if a taxpayer meets the ownership and use tests with regard to claiming the exclusion on the sale of a main home
  • Determine how to treat gain due to taking depreciation
  • Identify the special rules for joint returns
Lesson - 6
After completing Lesson 6, you will be able to:
  • Figure a taxable gain on the sale of a main home and know how to report it
  • Determine the treatment of real estate taxes when home is sold
  • Figure the deduction for real estate taxes when a home is sold