The Taxpayer Must Elect to Have the Exclusion of Gain

question 14

True/False

The taxpayer must elect to have the exclusion of gain under § 121 (sale of principal residence) apply.

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Definitions:

Cognitive-Behavioural

Pertains to a psychotherapeutic approach that addresses dysfunctional emotions, behaviors, and cognitions through a goal-oriented, systematic process.

Health Anxiety

Excessive worrying about having a serious illness, leading to significant distress or impairment in daily functioning.

Somatic Symptom

Somatic symptom disorder involves experiencing significant focus on physical symptoms, such as pain, that causes major emotional distress and difficulties in functioning.

Diagnostic Category

A classification used in diagnostic systems, such as the DSM or ICD, to organize and describe specific mental health conditions based on symptom patterns.