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Since you're in the military, you may qualify for special rules that help you exclude capital gains on the sale of your primary residence. Generally, you can exclude up to $250,000 ($500,000 for married couples filing jointly) in capital gains if you meet the ownership and use tests, which require you to live in the home for 2 out of the 5 years before the sale. However, the military, the Foreign Service, or Intelligence Community members may qualify for an extension of the standard 2-year use requirement. This extension can be up to 10 years if you're on qualified extended duty. You may be able to exclude the capital gains if you meet this criteria. Here's how it works: - You must be on qualified extended duty, which means you are stationed at least 50 miles away from your main home or living under government orders for more than 90 days (or indefinite period). - You can suspend the 5-year test period for up to 10 years while on qualified extended duty. In your situation, since you've bought the house in 2019 and lived in it until 2021 due to military orders, you should check if you're qualified for this extended duty exception. If you meet the requirements, you might be eligible to exclude capital gains from the sale of your house. Keep in mind that the exclusion is limited to the property's appreciation during your ownership and use as the primary residence. Any additional gain from renting the property or depreciation recapture may still be subject to tax. Remember that this is general information, and your specific situation might involve other factors. It's always a good idea to consult with a tax professional to ensure you're taking the appropriate steps based on your personal circumstances.