Posted by Diane (TX) on December 17, 2002 at 06:35:35:
Has your sister lived in and co-owned the house for a total of 2 years? If so, she can exclude gain on her half.
Your father can exclude gain on his half. Your sister quit claiming the deed won’t work for the other half. Your dad won’t have met the 2 year ownership test on your sister’s half.
Capitol gains question, pt 2 - Posted by Douglas Gomez
Posted by Douglas Gomez on December 16, 2002 at 17:44:22:
Thanks so much for answering my previos question. One thing I left out was, Even though my fathter has lived in the hous for over two years time during the last five years, my sister is also listed as owner of the same house. IF my father sells his house, would my sister be liable for any capitol gains tax? to recap, my father has lived there on and off for close to 2 1/2 years over the last five years. He wants to sell. question: Is my sister whose name is also on the deed going to be hit with any taxes? OR, should she just quit claim her half back to dad? and is she does, will he still be exempt from the capitol gains tax? thank you!