Sell of Rental Property

[Bioguy2008]

I sold rental property in 2020.  A few months prior to the sale I made improvements on the property.  How to I handle the cost of the improvement.  Can I add it to the cost of sale for the cost basis?

[RayW7]

You, would add these improvements to the basis of the property.

How to enter income and expenses from a rental property:

1. With your return open in TurboTax, search for the word rentals in the search box.
   • Click Jump to rentals in the search result.
2. Answer Yes to the question Did you have any rental or royalty income and expenses?
3. Follow the on-screen instructions as you proceed through the rental and royalties section.
   • We'll first ask you to enter general information about your rental (description, address, ownership percentage, etc.) 
   • Eventually, you'll come to the Rental Summary screen which is where you enter your:
     • Rental income
     • Rental expenses
     • Capital assets and depreciation
     • Vehicle expenses

-follow this link for additional information on the sale of Rental Property-

I sold my rental property. How do I report that?

[Bioguy2008]

Thanks, that answers my question.