Thank you for your reply. I think it worked now. In the "Tell us about this sale" screen, I put in $150,000 for sale proceeds and $155,000 (sale expense plus adj cost basis); and in the "select any less common adjustments that apply" screen, I selected the box that says "any loss from this sale is not deductible for reason other than wash sale, and then "this is a personal use property (like a vacation home) like you said.
1. The "here's all the investment accounts we have so far" summary screen shows "no financial institution" in the "institution name" column, gross proceeds show $150,000, gain/loss shows $0. For the "no financial institution", is it supposed to show that? Or does it matter since the "no financial institution" does not show on the printed form 8949?
2. On the form 8949, I see the following. Are they correctly shown?
- Box F checked
- Column (a) – “sale of home”, which is what I entered as description. Should I put in the address and zip code, like the sale of main home section asks to do? Or does it matter?
- (b) – date acquired – purchase date
- (c) – date sold
- (d) – proceed - $150,000 sale price as I entered in the "investment income" section
- (e) – cost basis - $155,000 cost basis, the aggregate total of sale expense and adj cost basis as I entered in the investment income section like you said
- (f) – code L – as in "loss" not allowed?
- (g) – positive amount of $5,000 (150,000-155,000) to zero out the loss
- (h) - $0
Just out of curiosity, I used the "sale of main home" to input the same data. I did not put anything in the "sale expense" box (because initially I put in $11,000 for sale expense and it did not show on form 8949). Instead, I put the total of $155,000 (sale expense plus adj cost basis) in the cost basis box. Form 8949 for this home sale entry as "sale of main home" shows exactly the same as the second home sale entry that I entered in the "investment income" section. It does not appear to specifically identify whether it was a main home sale or second home sale (only code L is shown in column {f), no other codes are displayed). The only difference is in the description TurboTax put in "main home sale with address" for the sale of main home entry, and what I entered "sale of home" for the investment income entry. So the two entries basically look the same. So if the sale was a loss, how does IRS differentiate one ale was main home and the other was second home/vacation home? I am just wondering if in the future I sell my main home for a loss, whether the "main home sale" exclusion rules apply (i.e, 24 months of last 5 years ownership, can't claim exclusion for at least 2 years, etc).
