Taxation of the Family Home (Currently Unavailable)

Author: Klaralee R. Charlton

Every practitioner at some point will be asked questions related to the tax consequences of buying and selling a personal residence. This course will provide an overview of the rules related to selling the family home during life and after death. Planning tips will also be discussed to enable clients to save taxes on the sale or transfer of their largest asset.

Publication Date: November 2019

Designed For
Attorneys, CPAs, and Enrolled Agents.

Topics Covered

• Overview of the Personal Residence Gain Exclusion under IRC 121
• Conversion of Home to & from Rental Property
• Home Office Deduction
• Consequences of Interfamily Transfers and How to Avoid Adverse Tax Consequences
• Gift Loans
• Date of Death Basis Adjustment under IRC § 1014
• Post Death Rental of Inherited Property
• Planning Ideas to Optimize Income Tax Consequences on Sale of Personal Residence

Learning Objectives

• Recognize how to explain the rules related to the personal residence gain exclusion under IRC 121
• Identify the interplay between the personal residence gain exclusion and the date of death basis adjustment
• Recognize how to analyze the tax consequences related to the sale or transfer of a personal residence in light of varying circumstances
• Identify how to advise clients on optimal timing for transfers of a personal residence to minimize income tax
• Describe exceptions to the two-year use and ownership requirement
• Recognize correct statements regarding gift loans and imputed interests
• Identify the gold standard for representing fair market value
• Identify a planning idea to optimize income tax consequences on sale of personal residence

Level
Basic

Instructional Method
Self-Study

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites
None

Advance Preparation
None