Sold House which I rented part of? How to?

[vtbn]

I sold a duplex in 2024 in which I lived in one unit and rented the other. While owned, I treated the rental part as 40% of the home, and claimed depreciation on that percentage.

How do I enter this into TT? Do I split it into two assets and say I sold a home I lived in and a house I rented?

[Mike9241]

since part of the property used for rental was not within the same dwelling unit used as the residential part of the home, you treat it as a sale of two properties and allocate the sales proceeds and costs between the two properties. This would include a duplex in which you lived in one unit and rented the other. The rental portion does not qualify for the section 121 exclusion.

reg 1.121-1(e)

the easiest way to do this in Turbotax is to report the sale of the rental portion using the schedule E on which you reported the rental and the home sale worksheet for the portion that was your residence.