Jack and Jill, a married couple, buy a house to live in for $200.000 and sell it five years later for $600.000. What will they owe in federal income tax (capital gains) upon sale of the house (assume they file there taxes jointly? O 1. Nothing O2. The sales price times the capital gains rate O 3. Their basis in the house times the capital gains rate. 4. They can postpone all capital gains only if they buy a house of equal or greater value within two years