I understand we need to fill out a Schedule D to report our Short Term Capital Gains, but I am confused as to how we report it because of this:
For example only:
We purchased a house and farmland (same day) together for 200,000
But then SOLD the house and farm separately months apart.
Sold house in summer for 110,000
Sold farm in fall for 120,000
Questions:
1. Do you report this as 1 transaction even though then you sold both separately on different dates?
Example: Report purchase price of 200,000
Report sale prices added together of 230,000
OR
2. Do you need to report them as 2 different transactions? (cause there are two different "Sale" dates?
And IF you do, we know what they SOLD for, but how do we divide the original "purchase price" we paid for them together between the two transactions as they were technically bought together as a package?
