Abba Zabba is a single taxpayer who purchased a home for $30…
Abba Zabba is a single taxpayer who purchased a home for $300,000. At the time they purchased this home, they used all of their §121 gain exclusion. After living in the home for 16 months, unforeseen circumstances caused Abba Zabba to have to move across the country. Consequently, they sold this home for $600,000. How much, if any, of their gain on the sale of this residence do they recognize in taxable income? Round all calculations to the dollar.