I want to elect out of installment sale treatment on the long-term capital gains on my rental property. It was sold in January, last rent payment in November of the prior year so no rental income this year. I entered $1 rental income - is that necessary? I treated it as the sale of a second home so that all of the capital gains would be counted this year - is that okay? I will report the seller-finance interest income on Schedule B but I do NOT have the SSN of the payer. I have NEVER depreciated the rental property, only reported rental income and expenses in the past.
