Since you are selling a rental property, you must split your total sale price and expenses between the building (the "Asset") and the "Land".
To do this, you should determine a fair percentage for each based on your original purchase records or a recent property tax assessment, such as 80% for the house and 20% for the land. Apply that same percentage to your total Sales Price and total Sales Expenses to calculate the specific amounts for each of the four boxes you left blank.
For example, if you sold the property for $300,000 with $20,000 in costs and use an 80/20 split, your Asset Sales Price is $240,000 and your Asset Sales Expenses are $16,000. The remaining 20% would then be entered as $60,000 for the Land Sales Price and $4,000 for the Land Sales Expenses.
This allocation is necessary because even if you sold at a total loss, the IRS treats the land and the building as two separate components for tax reporting.
