Kelly, Who Is Single, Sells Her Principal Residence, Which She

question 57

True/False

Kelly, who is single, sells her principal residence, which she has owned and occupied for eight years, for $375,000.
The adjusted basis is $64,000 and selling expenses are $22,000.She purchases another principal residence three months later for $200,000.Her recognized gain is $39,000 and her basis for the new principal residence is $200,000.

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