I sold a house in March of 2019 that I have owned since 2014. Beginning in 2015, the house was my primary residence for approximately 7 months of the year and a vacation rental the other five months (June - October). I had no losses on this property. As a result of the sale, there is a capital gain on the business portion and a capital loss on the personal portion. Also, the property was not rented at all in 2019 since I sold it in March.
I also own two other vacation rental properties that each have suspended passive losses that are larger than the capital gain on the business portion of the sale. It is my understanding that some of these suspended passive losses should be unsuspended due to sale - in the amount of the capital gain plus the depreciation on the property I sold.
If I tell TurboTax that the property was not rented in 2019, it deletes the asset entry sheet and says the sale must be entered as a sale of business property. If I do this, none of the suspended passive losses are unsuspended automatically by TurboTax. Is there some way to make this happen?
Also, the business use percentage for each of the years I owned the property I sold is different each year. TurboTax offers no help with this aspect of the sale. Does anyone have any suggestions about how to handle this?
