Land Investment sold at a loss

[Rick5459]

Can you write off a loss on raw land sales.  Also on one of the lots, I  had to remove an old farmhouse, is that deductible ?

[Anonymous_ · Accepted solution]

If the land was held for investment purposes, then the loss can be recognized. 

Add the cost of demolition to the basis of the land.

[ronaldh1]

how do i report the loss on my return

[Mike9241]

when you get to the investment portion of the interview. the subsection for stock and other

[Hal_Al]

In TurboTax (TT), enter at:
- Federal Taxes tab (Personal in  Home & Business)

 - Wages & Income

Scroll down to:

-Investment Income

   -Stocks, mutual funds, Bonds, Other (Real estate is other )

Answer no, when asked if you got a 1099-B, then follow the interview.  Add the demolition cost, to your original purchase cost, where you enter "cost or other basis".