Comment “book” for free bestseller, Legally Ever After and discover the 6 step plan to protecting your children’s future and happiness. Section 121 Exclusion is an IRS rule that allows you to exclude from taxable income a gain of up to $250,000 from the sale of your principal residence. A couple filing a joint return gets to exclude up to $500,000. To get the exclusion a taxpayer must own and use the home as their main residence for a period adding up to two years out of the five years before it is sold. Follow @lawmotherco for money and legal tips. This is not specific legal or tax advice. This is educational only. Please consult with a legal and tax professional with regard to your specific needs. #realestate #tax #finance #legal #lawyer #lawmother #generationalwealth #home #irs