Sale of rental property on land contract

[Irene2805]

If you are receiving payments over more than one year for this land contract, report this as an installment sale.  You can report the proceeds from an installment sale by following these steps:

1.  Click on Federal > Wages & Income
2. Scroll down to the Less Common Income section and click on the Start/Revisit box next to Installment Sales. On the Installment Sales screen click on the Yes box.
3. Continue through the interview, entering the requested information.

If you have the property included in your return as a rental property, please follow these steps to indicate the sale:

1. Click on Business > Continue > I'll choose what I work on.
2. On the screen, Let's gather your business info,  click the Start/Update box next to Rental Properties and Royalties.
3. If you have already entered information about your rental (or transferred it from the previous year), you will come to the Rental and Royalty Summary screen.  Click on the Edit box next to the property. 
4. If you haven't yet entered any information about the property, you will see a screen, Is This a Rental Property or Royalty?  Mark the button for Rental property and enter information about the property.  Continue through the screens, entering the requested information.
5. On the screen, Do Any of These Situations Apply to This Property? mark the box that you sold or disposed of the property in 2020. 
6. On the Review your [XX] Rental Summary screen, click the Update box next to Assets/Depreciation.
7. If you have assets entered already, on the screen, Do you want to go directly to your asset summary? mark the Yes radio button and click Continue.
8. Click Edit next to the property.
9. On the screen, Tell Us More About This Rental Asset,  mark these boxes:  I purchased this assert new; and the item was sold and enter the date of the sale. 
10. The next screen allows you to enter or confirm your prior depreciation .
11. You will eventually come to a screen to enter the sales information.
12. Continue through the interview, entering the requested information.
13. You will be brought back to Your Property Assets.  If you have other assets related to this property, follow the same procedure with them by clicking Edit on an existing asset [or Add an Asset].