Tax break for widowed homeowners. Widows have up to two years time following the deaths of their spouses to sell jointly owned home. Than they can keep up to $500,000. in profits tax-free. This is do to a provision of the mortgage forgiveness debt relief act that was signed into law last December.
Previously the law provided only that a home had to be sold within the same year as the spousal death in order to qualify for the $500,000. exclusion. After two years
widows eligibility was only up to $250,000 after this time period no deductibles allowed.
