Two Primary Home Sales in one year

[Tracy Lee]

I had TP and spouse that got married and bought a house together and both sold their own primary homes in 2021, that they both lived in for over 2 years.  They both qualify for the maximum exclusion.  I do not see a way in ATX Max to do two primary home sales, does anyone have a suggestion, guidance or an answer to what I'm not seeing?

[jklcpa]

You don't have to use the software's home sales input area if you have all the data and already know that the sale qualifies for the exclusion and the amount of the exclusion.

If you know they received form 1099-S and need to report the transaction(s), you can report them directly on form 8949 by entering the proceeds, basis+closing costs, and in col F use code "H" and back off the nontaxable portion of the gain that should be shown in col G as a negative number. That should result in -0- taxable gain in the final column H.

Do that for each sale.

[jklcpa]

For description, I'd use something like "primary residence-taxpayer" and "primary residence-spouse" or something equally descriptive so that the reader knows that these were separately owed properties that do both qualify for the exclusion if questioned.

[Pacun]

I know this might not be the case in your situation, but it is a good idea to keep it in mind.  Let's say that her gain is $350K and his gain is only $100K. $100K is taxable.

[Tracy Lee]

That is where I had put it; I appreciate the extra advice and the affirmation that I had it in the right spot!