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Joe and Jill are married filing jointly. They sold their home in 2 0 2 0 for $ 8 5 0 , 0 0 0

Joe and Jill are married filing jointly. They sold their home in 2020 for $850,000 and want to know how much capital gains tax they are going to have to pay. They originally purchased the home in 2016, for $280,000 and lived in it as their principal residence for the entire period of ownership. They paid $25,000 in selling expenses upon the close of escrow in 2020. How much of the proceeds will be subject to capital gains tax?

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