Generally speaking, married couples can exclude $500,000 and singles can exclude $250,000 of taxable gain if they can prove occupancy of the property as a primary residence for a 24 month time period within the last five years. Thus, if you lived in the home for two years, then rented the home for two years, the exclusion is still valid. However, if you continue to rent the home for a total of four years out of the last five the income tax exclusion expires and the property is subject to long-term capital gain. Ask your tax advisor to carefully review your situation.