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Turbotax calculation error if selling home which was partly depreciated
If you sell a home which was previously used either as a business or a rental there is a significant problem with Form "Home Sale Worksheet" and "Home Adjusted basis". I redid the calculations using IRS Pub 532 worksheets 2 and 3. Results are very different. TT is subtracting the depreciation previously taken from the exclusion rather than the gain and completely ignoring the steps 5&6 in the IRS form. The final check doesn't pick this up.
March 5, 2023
9:13 AM