My parents and I owned a property (as principal residence) before I got married. After I got married, I moved into my husband's property, which did not have my name on it. My parents still live in the property after I moved out, and their property had my name on it. I didn't change anything in my previous tax returns after I got married - I've never claimed the property tax paid in the tax year.
In 2024, I removed my name from my parents' property and added to my husband's. I am wondering if there is any implication to my tax return? Do I need to indicate my change in principal residence on my return?
When you removed your name from your parents’ home, you had a deemed disposition for that property, at the fair market value of your share at the time it happened. You can report it as a sale of your Principal Residence for the years that you lived there, but you may have a capital gain for the time you owned it but didn't live there.
In TurboTax Online, search for “Principal Residence” on the Tax Home ⌂ page to report the disposition.