Under What Circumstances May a Partial § 121 Exclusion Be

question 10

Essay

Under what circumstances may a partial § 121 exclusion be available even though the taxpayer has used the § 121 exclusion within the two-year period preceding the sale of the current residence?

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Definitions:

Foreign Market

A market outside of a company's home country where it engages in selling its products or services.

Direct Ownership

A form of business ownership where individuals or entities have complete control over their investments or assets without intermediaries.

Foreign Market

Refers to markets outside the company's home country where it can sell or market its products or services.

Exporting

The process of exporting products or services to a foreign country for the purpose of selling them.