Welcome! My goal is to do my very best to understand your situation and to provide a full and complete answer for you.
Good afternoon. Unfortunately, you cannot deduct the loss on the sale of your primary residence. This is specifically explained in the following IRS publication: http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Sale-of-Residence---Real-Estate-Tax
This is the part of my job I don't like...when the law
is not in favor of my customer. I wish I could tell you a loss was deductible in this situation, but, I can only provide you information based on the law so that you can act on the best available information to you. ………..I wish I had better news, but can only hope you recognize and understand my predicament and don't shoot the messenger. I'm sorry!
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