I entered all of the repairs/improvements/etc. under Expenses.
Ummmm... property improvements are entered in the "Sale of Assets/Depreciation" section.
If the property improvements were done after the last renter moved out and therefore never placed "in service", they do not get depreciated. But adding them in the depreciation section increases your cost basis in the property, thus reducing your taxable gain on the sale. It is wrong to enter property improvements in any section other than the "sale of assets/Depreciation" section. Being that you sold the property after the improvements were done, there is no tax advantage to using the "safe harbor" option that allows you to deduct those improvements in the expenses section, if the improvement qualifies for safe harbor.
When entering those property improvements, make the "in service" date the date you closed on the sale. Then make the business use percentage 0% or as low as you can. That way, no depreciation will be taken since you don't depreciate assets that were never placed in service.
You'll have to work through the "Sale of assets/Depreciation" section twice. The first time is to enter the property improvements. Then the 2nd time is to report the sale of everything listed in that section.
