Sold vacation home used for short term rentals for 20+ years. Accumulated losses were copied from Sched 1 to 1040, Line 6 reducing 2018 taxable income. Correct?

[paulbaldino]

Throughout the period of ownership, expenses always exceeded rents and the accumulated losses substantially reduce my 2018 taxable income.

[Anita01 · Accepted solution]

Yes, the loss is realized in the year of taxable sale of the property.