Hi,
I'm running into some confusion with a sale of a second house that we rented out. The home was purchased in 2010, we lived in it for 3 years while Active Duty, and then upon relocation, we continued to rent the home with the intent of keeping it to perhaps move back to upon retirement. Plans changed when my husband was medically retired from the military and opted to continue working as a civilian for another company. We still kept the house we purchased in 2010 and continued renting it, but in 2019 we opted to sell the home. My husband had looked into what would be involved tax wise with such an event, and had found something about that we could not be taxed for the sale of the home since it was a home purchased and lived in as active duty military for 3 years and sold within 10 years. My main issue that I'm running into is how to file that within Tubo Tax (we're using the Business edition). Since we collected rent from it, it wants us to file it under the Business section, but I'm concerned that listing the sale of the property in such an arrangement may skip applying the unique tax situation we're in with it. We did not operate the rental of it as a business, it was a personal home that we rented while not living in it. Any help on this would be greatly appreciated.
