I find the interview goes easier if you enter as a home sale, and not the sale of a rental.
In TurboTax (TT), enter at:
- Federal Taxes tab
- Wages & Income
Scroll down to:
-Less Common Income
- Sale of Home
The interview will ask if you ever took depreciation. You get a simple entry to enter the total amount of depreciation claimed (or shoulda been claimed) .
You should NOT reduce your basis by the accumulated depreciation (depreciation is entered separately). Depreciation recapture is taxed at ordinary income rates (not capital gains rates) but at not more than 25%.
@Anonymous_
