Frances and George sold their principal residence for $1,000,000. They purchased the home 10 years ago for $250,000. They incurred improvement costs of $100,000, real estate commissions of $60,000, and other settlement costs of $10,000. They lived in this home until the date of sale. Frances and George file a joint return and have not previously excluded a gain on another home. What is their maximum taxable gain?

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