It depends.
- Furniture bought and sold with the property - the property came with the house and was included in the basis.
- Furniture bought separately and then sold with the property - Normally, you would depreciate the furniture.
- If you did begin depreciation, you will need to dispose of the assets.
- If the furniture was purchased the same year as sale, increase your cost basis by that amount.
See Pub 527
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
