Individual sellers may indicate the sale of their principal residence is exempt from 1099–S reporting by completing a Certification for No Information Reporting. If the sellers can certify, under penalty of perjury, by affirming true to all six items (or N/A for item 6) on the Certification for No Information Reporting they are exempt.

This certification may only be offered to individuals. Since an entity cannot claim the property as its primary residence nor can an entity be married, the form may only be completed by sellers who hold title individually. If title is held by an entity or even a trust, they are not eligible to complete this form.

Each individual seller must complete their own certification; even if they are married. It is likely one seller may be able to sign the certification and the other is unable. For example, if sellers were recently married one seller may be able to claim they have lived in the residence for two out of the five years and the other may have lived there for only six months. This is why each seller needs to complete their own form.

The Certification for No Information Reporting cannot be used in lieu of the Substitute 1099–S form. If the seller cannot complete this form or marks false for any of the questions, the settlement agent must ask them to complete the Substitute 1099–S. A settlement agent should never offer the seller tax advice. Sellers who have questions or are unsure about their ability to sign this certification should contact their accountant.