Yeah, we're not alone. The best that can come of this prolonged discussion is that if anyone in 2022 searches for 'tax software sale of second home" at least they'll see threads that warn them not to rely on TurboTax because some of its editions don't handle sales of second homes elegantly. I don't have any more homes to sell, so this is only a problem for me this year. I have no idea if there is any tax software that comes close to TurboTax but if I had a second home to sell again, I'd look for an alternative for sure.
I give props to the person who coached us to add an additional sale of home form, but of course there is a difference between 'sale of second home' and 'selling two homes in one year.'
Anyway, the main reason I want a TurboTax question and answer form like they have with nearly every other freaking thing is that I want to know how to calculate the cost basis, and I want to know if anything I did to the home for 10 years, everything from foundation work to a new roof to improvements, matters in any way shape or form. One person above provided a link to an IRS publication so I guess I will look it up there. Of course, one hopes buying TurboTax means you don't have to read IRS publications but oh well.
And I appreciate the people trying to help are relying on the form TurboTax does provide, they're good sports, but what does "Enter the sales expenses not deducted from the sales price entered earlier" mean? Is that a reference to the real estate commission, the cost of improvements to make it ready for sale or ?? I guess I'll read the IRS publication and be thankful TurboTax isn't like this for any other aspect of my taxes (at least I hope, I'm not done yet 🙂
