Apartments were purchased in 2015 as income property with intent to renovate. Rent was collected from existing tenants, who were given the option to complete their leases or otherwise move out at their convenience, at which point the building was vacated for renovation work. Structural issues were discovered during renovation rendering the building unsalvageable.
Two accountants were consulted, who each advised that we could expense the remainder of the undepreciated value of the structure as "disposition loss". We are not selling the remaining land, retaining it as personal property.
There will be a multi-year carryover from the loss.
How do we enter this in TurboTax?
