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Your capital gains will be difference between the sales price and your basis. Your basis will include the purchase price, expenses of sale and any capital improvements you made over the years.
Have you used the house as your principle residence for at least two years in the last 5 years? What is your filing status? You may qualify for 250/500K capital gains exclusion if you meet certain requirements.
You may be able to exclude 250K (500K if filing jointly) from your capital gains if you owned and used the property as your principle residence for at least 2 out of 5 years immediately prior the sale.
Long term capital gains are taxed at a lower tax rate than ordinary income, between 0 - 20%. In addition, because the Obamacare is still law of the land, the capital gains may also be subject to 3.8% of Net investment tax, depending on your total income and filing status.
If you owned it for more than one year it is considered long term. Everything less than one year is short term.
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