Sold Rental Property in 2019

[jon_diedrich]

I sold my rental property in 2019.  Using TurboTax Home & Business, under the Rental Properties & Royalties Section, I checked the box indicating that "I Sold or disposed of this property in 2019."  Nowhere in that section does TurboTax ask for 1099-S data. 

Under the Less Common Business Situations section, Sale of Business Property, there is a question that asks about "Any Other Property Sales?"  One of the options is "Sales of business or rental property that you haven't already reported."  Do I need to check this box to enter my 1099-S?  I am unsure because I already reported that I sold the rental property in the Rental Properties & Royalties Section.

Thank you for any assistance.

[DavidS127]

No, you don't need to enter the sale of your property again, the sale will be reported as a disposition as a result of your entry in the Rentals & Royalties section.

But, you should have been asked about the sales proceeds for the sale (i.e., your 1099-S information).  If you weren't asked about the sales proceeds, you should go back through the questions for that rental property in order to enter the information about the date of sale and the proceeds from the sale.

[jon_diedrich]

Thank you, when I get to the "Property Assets" section, there is note that states, "Earlier you told us that you sold your single-family home. Be sure to enter your sales information in this section so we can calculate your capital gain or loss."  I guess this is my problem.  I have the house listed as an asset in this section, I click through everything, and I am not asked about proceeds from the sale.

[Carl]

Reporting the Sale of Rental Property

If you qualify for the "lived in 2 of last 5 years" capital gains exclusion, then when prompted you WILL indicate that this sale DOES INCLUDE the sale of your main home. For AD MIL personnel who don't qualify because of PCS orders, select this option anyway, because you "MIGHT" qualify for at last a partial exclusion.

Start working through Rental & Royalty Income (SCH E) "AS IF" you did not sell the property. One of the screens near the start will have a selection on it for "I sold or otherwise disposed of this property in  2019". Select it. After you select the "I sold or otherwise disposed of this property in 2019" you continue working it through "as if" you still own it. When you come to the summary screen you will enter all of your rental income and expenses, even it it's zero. Then you MUST work through the "Sale of Assets/Depreciation" section. You must work through each individual asset one at a time to report its disposition (in your case, all your rental assets were sold).

Understand that if more than the property itself is listed in your assets list, then you need to allocate your sales price across all of your assets.  You will only allocate the structure sales price; you will NOT allocate the land sales price, since the land is not a depreciable asset.  Then if you sold this rental at a gain, you must show a gain on all assets, even if that gain is $1. Likewise, if you sold at a loss then you must show a loss on all assets, even if that loss is $1

Basically, when working through an asset you select the option for "I stopped using this asset in 2019" and go from there. Note that you MUST do this for EACH AND EVERY asset listed.

When you finish working through everything listed in the assets section, if you ever at any time you owned this rental you claimed vehicle expenses, then you must also work through the vehicle section and show the disposition of the vehicle. Most likely, your vehicle disposition will be "removed for personal use", as I seriously doubt you sold your vehicle as a part of this rental sale.

[ZAIDA123]

I have read all the comments when selling a rental property. And I have followed all the indications but Turbo Tax never gives me the option of informing about the sale. I am frustrated that I cannot continue with my tax, because I cannot find a way to report the sale of rental property.

When I enter the income data for the rent,  asks me if the property was sold this year and I say yes, then says later when he sees the depreciation section will be asked about the sale, but it never happens. I don't see an option where to enter the sale data.

[ColeenD3]

If it was rented in 2020 at all, enter your income, expenses and sales information in the Rental section. The sales info will be in the depreciation/asset section.

If you had no rental in 2020, enter the sale in Sale of Business Property.

1) Wages and Income

2) Other Business Situations

3) Sale of Business Property

4) Other Property Sales

5) Select Sales of Business or Rental Property that you haven't already reported

6)Choose No to the question, "Do all of the following apply to the property you sold?".

7)Choose Yes to the following screen that asks, "Do any of the following descriptions apply to the items you sold?".

8)Select the type of property from the drop down box.

9)Enter the information for your sale.