No Tax on Home Sales Act

The No Tax on Home Sales Act would remove the dollar cap on the tax exclusion for gains from the sale of a principal residence. Under current law, individuals may exclude up to $250,000 of gain (or $500,000 for married couples filing jointly) from taxable income, subject to ownership and use tests. This bill would eliminate those dollar limitations, effectively allowing an unlimited exclusion of gain for qualifying principal residence sales. The bill preserves the basic framework of Section 121 and makes conforming cross-reference changes to ensure consistency across the code. It would apply to sales and exchanges occurring after the date of enactment. The sponsor is Ms. Greene of Georgia, and the bill was introduced July 10, 2025 and referred to the House Ways and Means Committee.