There is another thread on this, however, I will provide some direction:
- Based on your facts, you appear to know your tax basis.
- You need to update your tax basis for 2021 for all the applicable items on the K-1 EXCEPT the distribution. This figure becomes your cost basis.
- Your "selling" price will be the distribution reflected on your final K-1.
- Any difference will be the gain / loss on this investment. TT will report this on form 8949 and Schedule D.
- Your K-1 would have reflected any ordinary gain or Section 1250 gain. Since this is land, there is most likely neither of these types of gain since land was not a depreciable asset. As such, those boxes would be blank or zero.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
