Hi AmeliesUncle, thanks for your response.
I am interested in learning how differently a CPA would do this manually if TurboTax is really not set up for this.
I expected TurboTax to be robust!
Would you or any CPA in this community forum be able to shed some light to below question?
There is publication 544, page 4 showing how to calculate this and report a zero in my scenario.
1. Currently, My Form 4797 (as done by TurboTax), part 1 gets populated with line 2 as follows:
2a. property description
2b. date purchased
2c. date sold
2d. gross sales price - which is more than my FMV but less than my original purchase price - 288,888
2e. total depreciation taken - 20,151
2f. cost basis which is my FMV plus selling expenses - which is less than my sales price and my original purchase price - 260000 + 18622.20 = 278622.20
g. gain or loss - Math done by software is: line 2d plus line 2e minus line 2f which is resulting into a gain which is correct math but since my sale falls inbetween the range (as discussed reviously), this should not be a gain nor a loss, instead a zero should be put but TurboTax is not doing that (as per Publication 544 pg4) - 288888.00 + 20151.00 - 278622.20 = 30416.80
2. Is form 4797 correct for this or What form(s) can I manually fill to report this correctly and which part/section/lines in that form need to be populated would be a great help if anyone can share.
3. Would you say after reading Publication 544 pg 4 that when form 4797 is manually done, part 1, line 2g should be put down as a zero even when the math it asks to be computed results into a positive number?
