Selling an LLC building when you are the sole owner of the LLC and the building

[Drritarae]

I sold a building that initiated as an S corporation and was filed only on my personal tax return, but that building after retirement was put into an LLC where I was also only the one person in the LLC. Any rental that may have occurred was always filed on my personal tax return. When I sold the building it was in the name of the LLC and was not rented at the time or even in the previous year. I am single and have always just filed everything on my one single tax return, just itemizing my expenses for the building if there were any. There was never separation between me and the Office building. I sold the building at a loss overall. I have had the building since 1986. It had been involved into hurricanes with substantial damage where the building had to be completely remodeled twice after the initial remodeling of the building after purchase. How do I file this correctly? I have been nervous about filing because since retirement I only used TurboTax and did not use  any CPA outside of Turbotax.

[ThomasM125]

If you still have the building listed on your return in TurboTax from when you rented it out, you can edit that rental activity in TurboTax, find the asset and indicate it was sold. TurboTax will ask you for the date sold and proceeds. The cost basis and accumulated depreciation may populate automatically and that would be all you would have to do. Otherwise, you will need to enter in the cost basis and accumulated depreciation allowable during the time the building was rented out or used for business.

Otherwise, you will need to go into the business/rental section of TurboTax and on the screen that says Let's Gather your Business Info, use the Sale of Business Property option under Less Common Business Situations to enter in your building sale.  

You need to keep in mind that you must enter the depreciation allowable on the building during the time it was used for business or rented out when you report the sale of it regardless of the depreciation you actually deducted. Also, you can add the cost of improvements you made to the original cost of the building.

[Drritarae]

I just saw this today. Thank you for texting me back because I am going to do my taxes, at the latest, this weekend.  I have owned this building for 40 years and sometimes it was rented and other times, I owned it and had no renters and had to spend a whole lot of money to get some more renters. I have owned this building since 1986 and sold it last November 28. But I’ve done tons of work on the building in addition to what I bought the building for thank you for answering me