The Ownership Test for Excluding Gain on the Sale of a Principal

question 65

True/False

The ownership test for excluding gain on the sale of a principal residence requires the taxpayer to have owned the property for three or more years during the five-year period ending on the date of sale.

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Definitions:

Fiedler's Contingency Theory

A leadership theory proposing that effective leadership depends on both the style of the leader and the favorableness of the situational context.

Leadership Success

The achievement of desired results and goals through effective direction, influencing, and guide of others, often marked by increased follower satisfaction and organizational performance.

Situational Demands

External conditions or pressures that require individuals or organizations to adapt or respond.

Laissez-faire Style

Describes a leadership approach characterized by minimal supervision and allowing employees a high degree of autonomy in their work.