To Be Allowed to Exclude Gain on the Sale of a Principal

question 13

True/False

To be allowed to exclude gain on the sale of a principal residence, the taxpayer selling the home must be using the home as a principal residence at the time of the sale.

---

Definitions:

Renewal Effect

The psychological phenomenon where previously extinguished responses reappear upon return to the original context.

Extinction

In conditioning, the process by which a conditioned response diminishes and eventually disappears following repeated exposure to the conditioned stimulus without the unconditioned stimulus.

Spontaneous Recovery

Spontaneous recovery refers to the reappearance of a previously extinguished conditioned response after a period of non-exposure to the conditioned stimulus.

Conditioned Responses

Conditioned responses are the behaviors that result from the association between a previously neutral stimulus and a conditioned stimulus through conditioning.