Hi there - I'm running into issues when reporting the sale of my rental property. Turbo Tax indicates I have a gain of $151,877 on the sale (and owe $30k+ in taxes) where I believe I should actually have a loss here.
The basis was re-set in 2018 when my husband passed, to the FMV of $403,500 broken out as follows:
Asset: $259,047
Land: $144,453
Prior Depreciation: $24,935
We sold in 2023 for $375,000 with $16,876 in expenses, broken out as follows:
Asset Sales Price: $240,750
Asset Sales Expense: $10,834
Land Sales Price: $134,250
Land Sales Expenses: $6,042
I dont understand why Turbo Tax is calculating such a high gain here. Could there be an error in the system or am I missing something? Can anyone give me some guidance on how to proceed?
Thanks in advance!
