We (myself and business partner) acquired a rental single family home on 04/19/2005 for $285,000. 50% ownership each. We put $5k into it immediately. I think that raises our basis to $290,000 (not sure). I'm filing returns only for myself. Sold the property for $315,000 minus a $4,000 credit to seller for closing costs (due to a bad AC unit). Closed on 07/30/2019. Each year that we owned the property I took 1/2 of the depreciation on my tax returns. 50% ownership did not change in any year. We had a lot of selling expenses, which I entered into TT.
TurboTax is telling me that I took $30,176 in federal prior depreciation.
It also says I have a gain of $79,140 on my disposition of the rental property and my depreciation for 2019 is $3312. I understand that I have to "re-capture" depreciation, but $80k seems high.
TT then reports I have a gain of $47,740 on my disposition of the land.
Do these numbers make sense? I don't think the Gain number is correct. I don't think TT is accounting for my 50% ownership.
