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Level 3
posted Apr 7, 2025 10:28:32 AM

TurboTax Premium Online - Unable to find wizard to enter rental sale of property information

Hi,

 

I am using TurboTax Premium and already have rental listed from previous years that I sold. I do not have Form 1099-S as it is optional for the agent to send when the gains are below $250K. While filling in the forms, I did indicate that I sold my property this year. When I go to that particular rental home listing, I can see the income, expenses and under "Assets section - Sold rental property" 

 
 

 

However when I click on the edit button, it simply shows this screen below

 

[Ignore the numbers and years as they are placeholders just to show what I see]. 

 

Now as per some of the TurboTax help articles, I was waiting to see some walkthrough pop-up so I can enter all the numbers. The automated TurboTax help chat was unhelpful as usual for this simple request, so I asked for a specialist to call me. The first one did not know either and was trying to push me to get Live Tax Advice. If I wanted that, I would have then gone through CPA instead. I searched all over and could not get the information. It was late in the night, so I tried again the next day hoping to get a better specialist to talk to. 

 

The second one was more helpful, and it looks like I need to click on Add an asset, which seems counter intuitive and then enter all the information. 

Step 1 - 

 

Step 2: 

 

Step 3: 

 I hope this is the right way to do it and looking for confirmation from the community. Also, I hope this helps others, as I was very confused and the Automated Support chat was very unhelpful.

0 2 3723
1 Best answer
Expert Alumni
Apr 8, 2025 1:18:53 PM

No, you don't need to add/enter any rental assets.

 

Since you have already reported that the Rental Property was sold under the property profile, you need to actually report the sale of all the rental assets as follows:

  1. Go to your asset summary page and click Edit beside the first rental asset you sold.
  2. Continue to the page "Tell Us More About This Rental Asset" and check the box for "The item was sold..." Enter the date of the sale in the pop-up box.
  3. Follow the prompts to enter the sale information.
  4. Continue back to the list of assets.
  5. Repeat steps 1 through 4 for each property asset.
  6. Continue back to the Property Summary page. Click Done and answer any follow-up questions.

You will need to allocate the sale proceeds and selling expenses to the asssets using any reasonable method. Most taxpayers use the adjusted basis at the time of the sale. Calculate the percentage of basis that belongs to each asset, then apply that percentage to the sale.

Example:

  1. Total Basis: $80,000 for home & improvements (net of depreciation); $20,000 for land ($100,000 total)
  2. Percentage of Land Basis: $20,000/$100,000 = 20%
  3. Total Sales Proceeds (gross sales price) = $150,000
  4. Sales Proceeds for Land = 20% x $150,000 = $30,000
  5. Sales Proceeds for Home = $150,000 - $30,000 = $120,000
  6. Total Selling Expenses = $10,000
  7. Selling Expenses for Land = 20% x $10,000 = $2,000
  8. Selling Expenses for Home = $10,000 - $2,000 = $8,000

2 Replies
Expert Alumni
Apr 8, 2025 1:18:53 PM

No, you don't need to add/enter any rental assets.

 

Since you have already reported that the Rental Property was sold under the property profile, you need to actually report the sale of all the rental assets as follows:

  1. Go to your asset summary page and click Edit beside the first rental asset you sold.
  2. Continue to the page "Tell Us More About This Rental Asset" and check the box for "The item was sold..." Enter the date of the sale in the pop-up box.
  3. Follow the prompts to enter the sale information.
  4. Continue back to the list of assets.
  5. Repeat steps 1 through 4 for each property asset.
  6. Continue back to the Property Summary page. Click Done and answer any follow-up questions.

You will need to allocate the sale proceeds and selling expenses to the asssets using any reasonable method. Most taxpayers use the adjusted basis at the time of the sale. Calculate the percentage of basis that belongs to each asset, then apply that percentage to the sale.

Example:

  1. Total Basis: $80,000 for home & improvements (net of depreciation); $20,000 for land ($100,000 total)
  2. Percentage of Land Basis: $20,000/$100,000 = 20%
  3. Total Sales Proceeds (gross sales price) = $150,000
  4. Sales Proceeds for Land = 20% x $150,000 = $30,000
  5. Sales Proceeds for Home = $150,000 - $30,000 = $120,000
  6. Total Selling Expenses = $10,000
  7. Selling Expenses for Land = 20% x $10,000 = $2,000
  8. Selling Expenses for Home = $10,000 - $2,000 = $8,000

Level 3
Apr 9, 2025 8:49:31 AM

Thanks, that was helpful. What I also wanted folks to know is that if you tell TurboTax that you sold an asset, it does not trigger a wizard on it's own. Like you said, you have to go manually to each asset and mark it as sold. It may seem obvious  but the walk through can be triggered by TurboTax.