I have a client that divorced in 2017.  The decree states that the former spouse can live in the home as long she maintains the property (water, repairs, garbage, etc.).  My client continued to pay the mortgage, homeowners insurance  and taxes.

Former spouse moved out of the home and it was sold in May of this year.  My client has remarried.

My understanding is that since the former spouse lived in the home as her principal residence that my client is entitled to the 121 exclusion of $250K but I am unsure as to documentation that ProSeries will look for on the Home Sale Worksheet.

I will include the divorce decree with the taxes when filed/