@DianeW777 @ColeenD3 Just for clarification please, the original purchase price of the property was $407,000 and the FMV in 2013 at the time of conversion to rental was $320,000. So, in the step where I need to enter the Asset Sales Price and Asset Sales Expense, are you telling me to enter the following?
Asset Sales Price (Business Portion Only): $515,000
Asset Sales Expense (Business Portion Only): $29,000 (legal/relator fees) + $25,000 (septic system installation) + $87,000 (difference between original purchase price minus FMV at the time of rental conversion)?
Could you please confirm if that's what I should do? Couldn't I simply modify the Cost Basis from $320,000 to $407,000 under the Asset information?
I highly appreciate all of you responding so quickly. Thanks a bunch.
