Cynthiad66
Expert Alumni

Investors & landlords

Yes.  You report your portion oft he ales proceeds.  Sale of the property includes the land, unless there is some agreement for the building only.

 

So include the cost of the land in the basis of the property when calculating total cost/basis.  This will reduce your taxable gain on the property.

 

Use the link attached for for more information on Cost of property:  Determining Basis of Property - IRS

@K46732

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