Deductions & credits

If you happen to place the property in service for rental and removed it in the same tax year, this could be the issue.  You are not allowed to depreciate an asset that is placed in and out of service the same year.  

You may need to report the sale of the rental property on Schedule D (Investment Sale) if this is your situation.  Remove the asset (house and/or land) from the rental property and just take the expenses and report the income.

1. Under Wages & Income scroll to Investments & Savings
2. Select Start/Revisit beside Stocks, Mutual Funds, Bonds, Other (1099-B)
3. Select Add Investments or continue to go through the screens to select 'Other' > Continue
4. Begin to enter the sale description >  Under Type select Other > Under How did you receive select 'I Inherited it' (if applicable)
5. For TurboTax Desktop you would enter the description 'Inherited Property' and select 'Long Term' as the hold period
6. Enter your sale date and 'Various' as the Acquired date
7. Continue to complete the screens until you arrive back at the Wages & Income main page.

Inherited property is always considered to have a long term holding period which provides favored tax treatment.

Please update if you have more questions.  @Erk3