Asset and Land Sales Price on rental sale - NEED HELP!

[peterman]

1. Not sure what value to use for the Asset Sales Price.  We sold it for $157K but the assessed value is $133K. Assuming 100% was for Business use, which value do I use?

2. The assessor does not call out the land price. This was a condo therefore, what do I include in the Land Sales Price and Expense?

Any help is appreciated.

PK

[PaulaM]

The sales price is $157k (assessed value is not used here). Land value is not used for a condo, therefore the land sales price is 0.

[peterman]

A couple of more questions based on my situation.  We bought the condo for $180K 12 years ago and sold it recently for $157K.   There was a loan that was paid off at closing for $100K. After $9700 in closing costs, etc. We received a check for the balance for $47.3K.  Questions I hope you can help me answer:

1. Do I still use the $157K sales price  or do I use the cash amount ($47.3K) we received as the Asset Sale Price?

Thank you in advance.

[PaulaM]

The loan proceeds are not used at all when calculating gain/loss. The sales price of $157k - the $9700 in closing costs = net sales of $147,300.  You will be using the adjusted cost basis to figure gain/loss. TurboTax will guide you in the sale of asset section of the rental section.

Under the Property Profile section, indicate that you sold the property, then go to the Sales of Asset/Depreciation section to enter the condo sale.

[peterman]

THank you

[PaulaM]

You are welcome 🙂