Hal_Al
Level 15

Deductions & credits

Your house building is a depreciable asset. Anything you added, like a microwave, was a separate asset and was depreciated separately from the building.  

When you sell the house (and everything in it), you have disposed of all your depreciable assets.  Usually you sell everything for one price, so you report only the total sale.  Some people, in this forum, suggest reporting the sale of each asset separately, for reporting convenience.  You would have to allocate a portion of the total sale price to the microwave.   It all comes out equal.