Investors & landlords

1. Yes you would need to report the refunded insurance premiums as Other or Miscellaneous income on your Schedule E.

To enter in TurboTax:

1. Go to Wages & Income (or Personal Income).
2. Scroll down to Rentals, Royalties, and Farm and select Start/Update next to Rental Properties and Royalties (Sch E).
3. Find the property you sold and click Edit.
4. On the Rental Property Summary screen, click Start/Update next to Rental Income.
5. On the Let's enter the income for Rental, select Cash, checks, and electronic payments
6. Enter in the 2025 Rental Income Box (add it if you already have income here).

2. You would not enter the premiums for the 66 days as an adjustment to basis.  Selling expenses that adjust your basis are usually things like commissions, title insurance for the buyer, legal fees for the closing, and transfer taxes.  The insurance would be a deductible expense which you could deduct while you were maintaining the property while awaiting the sale if it was available for rent. (See Vacant while listed for sale.)  

PLEASE NOTE: Because you deducted the entire premium in 2024, you would not enter it as an expense again in 2025.  

By reporting the $223 as income, you effectively bring your total net deduction for the life of that policy down to $704, which covers the period from June 2024 to March 2025. You don't need to list a separate expense for the 66 days in 2025 because those dollars were already part of the $927 deduction you took in 2024.