@negrillive As fanfare pointed out, the selling price is $174,000, which is the amount the seller actually received.
However, to avoid an IRS notice (based on the $187,000 on the 1099-S), most people add the difference to Basis or to Selling Expenses when they report it on the tax return. That is an acceptable method of reporting the sale, because it still shows the proper amount of gain on the tax return.
