US HB7349

Increases the capital gains exclusion for surviving spouses selling a principal residence from $250,000 to $500,000, matching the exclusion available to married couples filing jointly

Removes the current 2-year time limit after a spouse's death, allowing the $500,000 exclusion regardless of how much time has passed since the death

Requires that ownership and use requirements were met immediately before the spouse's death and that the surviving spouse has not remarried before the end of the taxable year of the sale

Amends Section 121(b)(4) of the Internal Revenue Code of 1986

Applies to sales and exchanges made in taxable years beginning after the date of enactment