No. Technically if you sell your home and use the money to either repay your mortgage or to purchase a new place of residence, then you will not need to include the profit on your tax return. However, there are numerous restrictions on this rule and capital gains can be one of the most confusing parts of the tax code. Before excluding any income on your tax return you will want to make 100% sure that you are following the IRS’ rules. For more information see “
Will I Owe Capital Gains on the Sale of my Home,” or speak to a local tax professional.