Selling Land investment (Current Home) for 900k profit. Can I enjoy the 500k personal residence tax deduction and invest the other 400k into my next investment without getting taxed this year? This is Located in NC, USA.
Just trying to figure out the most sensible options for reinvestment without having to reinvest ALL of the money from the sale, if possible.
Background: I bought it to live in initially, and we have always lived in it. But in reality, the 5.5 acres is and has always been ideally redeveloped to commercial ... I just wanted to live on a big lot in a growing area and see if it turned into a gold mine, which it did. I satisfy the requirements of 121. Just not sure if I satisfy any other requirements for an exchange like mentioned in : https://www.irs.gov/irb/2005-07_IRB#RP-2005-14