I sold a home that hand been used as a rental for 5 years. It was purchased as a family home for 300,00, but it was not a good time to sell it when we purchased our new home. I sold the house for 415,000 (adjusted cost basis 325,087) and paid off a 142,000 mortgage. I purchased 10 acres of bare land with a 1031 exchange, for 85,000. I can not figure out HOW to enter this in Turbo tax. It asks me if I received any non-like kind property and I click "no" but then it tells me it should add up to 187,000 somehow. And whatever I enter makes turbo tax say my tax is more than I got for the property! Yikes!! I should only have a profit of 4 or 5 thousand dollars!!
Please help! I had to file an extension as the 1031 exchange closed after April but want to finish my taxes ASAP so I can minimize my penalty.
