Maggies aunt died in 2001 leaving her a home which has been the principal residence of Maggie and her husband ever since. Her aunt acquired the property in 1980 at a cost of $90,000. She (the aunt) made capital improvements over the years totaling $25,000. The property had a fair market value at the aunts death of $250,000. In 2003, Maggie and her husband added a tennis court (cost $25,000) and paid a city assessment for the installation of sidewalks on their street of $5,000. They sold the home in 2018 for an adjusted sales price of $800,000, and immediately purchased a new home at a cost of $600,000. Maggie and her husband file a joint return. Please identify, discuss, and resolve all tax issues associated with the acquisition and sale of both the home they inherited from Maggies aunt, and the purchase of the new home, including an analysis of the basis of their new home.