Internal Revenue Service United States Department of the Treasury
Level Basic Advanced Military International

Income — Capital Gain or Loss

Introduction

Objectives

At the end of this lesson, using your resource materials, you will be able to:

  • Compute the adjusted basis of a capital assets or other investment property
  • Determine if an asset's holding period is long-term or short-term
  • Calculate the taxable gain or deductible loss from the sale of capital assets
  • Determine if a home is the taxpayer's main home
  • Determine if a taxpayer meets the ownership and use tests
  • Determine when the 5-year ownership/use test period is suspended

Estimated time to complete: 1 hour, 15 minutes