Discussion

I sold my house. Will the title company report the transaction to the IRS?

Will the title company report the transaction to the IRS? or do i have to do it when i do my taxes?

Yes, the gross proceeds are reported from the sale, not the net proceeds. A copy of the 1099-S is sent to the IRS. Even if you don’t owe any taxes on the sale, you may still receive a paper audit from the IRS if you don’t report the sale on your tax return. Additionally, state income tax implications vary by state. Talk with your accountant about how to correctly report this to the IRS. Reporting it doesn't necessarily mean you will owe any taxes, as everyone’s situation is different.