A bill to amend the Internal Revenue Code of 1954 to extend the exclusion of gain from the sale of a principal residence to individuals under 55 years of age, and for other purposes.

Amends the Internal Revenue Code to eliminate the requirement that a taxpayer must have attained age 55 to qualify for the one-time exclusion of gain from the sale of a principal residence. Reduces the limitation on the amount of such exclusion from $100,000 ($50,000 in the case of a married individual filing separately) to the excess of such dollar figure over the amount of gain excluded for any preceding taxable year. Applies such reduced limitation only with respect to excluded gain attributable to sales or exchanges after July 27, 1978.