A bill to amend the Internal Revenue Code of 1954 to allow an individual to exclude from gross income the gain from the sale or exchange of the individual's principal residence.

Amends the Internal Revenue Code to allow a taxpayer a single election to exclude from gross income the gain from the sale or exchange of the taxpayer's principal residence provided that the taxpayer has owned and used the property as his principal residence for at least 12 months. Eliminates the requirement that the taxpayer reach age 65 before the date of the sale or exchange.