Are servicemen subject to tax consequence on sale of rental

[Maria Bocanegra]

Hi Are service members/vets subject to gains tax where they purchased home with VA loan then rented it out for more than 2 out of the last 5 years? Thx! M

[Natalie Kolodij]

Yes. You've got the numbers a little skewed- did you live in the home for 2 the last 5 years? If so you can take the 121 exemption. If not, there will be gains. You can look into a 1031 exchange as well.