There are few exceptions to these laws. For example, if you pass through some unforeseen circumstances before owning the home, such as loss in business, divorce, or natural disaster, the Internal Revenue Service (IRS) will allow you to prorate the exclusion. Furthermore, if you lived in a house less than 12 months since the purchase, you can exclude up to $250,000 of the gain from the taxes (if you file tax jointly). Adjustment in homes can also reduce tax significantly if you have payment slips.