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1041 residence sale gain exclusion

Level 1

1041 Program doesn't allow residence gain exclusion in 1099S entries.

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3 Replies 3
Level 12

Trusts don't live in a primary residence.  They're a legal fiction.  Are you doing a return for an estate, a revocable living trust, or something else?

Level 1

Revocable living trust,, Grantor dies in 2020.

Was residence up to her death. Sold by trust.

Beleive it qualifies for exlcusion  121-1-(c)(3)(i)  and furhter research support this treatment.

Thanks for reply.


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Level 12

If it was sold after her death, you would get stepped-up basis and it's unlikely there would be any gain after selling expenses.  

There is no "-1" to Code Section 121, and there's no (c)(3).  Maybe you're looking at Regulations.