Rental house fire:
Insurance payment 60K
Adjusted based on destroyed property 40K.
Replacement property purchased 50K
I enter values using Casualty Theft Summary under Deductions and Credits, and then the Deferred Gain Election screens.
------------------------------------------------------------ TurboTax says realized gain is 60K. Shouldn't realized gain be 10K, with deferred gain of 10K to be reflected in lower basis for the replacement property?
