Purchased house in Sept. 2007 for $679,950, added $83,931 in remodeling improvements immediately after purchase. Primary residence from Feb. 2008 - Dec. 2008. Vacant for all of 2009. Placed into service as a rental in Jan. 2010 with a FMV of $559K (with land valued at $148,616). Rented from Mar. 2010 - May 2015. Prior Depreciation for 2010 - 2014 of $72,993. House sold in May 2015 for $670K. Settlement charges for the sale $34,756.
Basis for gain = $679,950 + $83,931 + $34,756 - $72,993 = $725,644
Basis for loss = $559,000 + $34,756 - $72,993 = $520,763
My understanding is that because the sale of $670K falls between the gain and loss, that there is no gain or loss on the sale of the rental house.
My problem is how do I report this information on turbo tax? I do have access to the forms.
Any help would be greatly appreciated!
Thank you!
