topic Fluke sale of property: in Get your taxes done using TurboTax

Fluke sale of property:

j g — Sun, 06 Oct 2019 13:59:41 GMT

Owned a property for 24 years I had bought at $40,000. Sold recently for 2.5 million. Real windfall. Assume I would owe no taxes this year except for this. How much am I going to owe on this sale and where do I report it? Using Premier from CD on desktop machine.

Re: Fluke sale of property:

DoninGA — Sun, 06 Oct 2019 14:13:06 GMT

What type of property was sold? Residential rental property? Commercial property? Investment property? Second home? Land? Or was this your personal primary residence?

You can use the TurboTax 2018 Premier desktop edition to calculate the gain on the sale based on the type of property sold, just start a New Tax Return. Then in Forms mode you can use the What-If worksheets, select the 2019 tax rates, and the taxes on the gains will be calculated.

Re: Fluke sale of property:

NCperson — Sun, 06 Oct 2019 14:49:46 GMT

worst case scenario: 23.8% federal capital gains tax (which includes 3.8% investment tax on that part above $250,000 if married) on $2.5 million less $40,000... and then state tax depending on the state you live in. Assume 5% for most states that tax income.

might be with hiring a tax accountant given the size of the numbers

Re: Fluke sale of property:

j g — Sun, 06 Oct 2019 15:02:35 GMT

Thank you much, Donin and NC. This was raw land.

Re: Fluke sale of property:

Critter — Sun, 06 Oct 2019 15:09:50 GMT

If you want to play around with different figures and tax scenarios without affecting your original return you can …

In the TurboTax CD/Download software by creating a test copy:

Open your return in TurboTax.
From the File menu, choose Save As.
Give the copy a new name to distinguish it from the original (for example, by adding "Test" or "Example" to the file name).
Click Save. You are now safely working in the test copy and anything you do here will not affect the original.

https://ttlc.intuit.com/questions/1900642-how-to-make-a-test-copy-of-your-return

Or use the WHAT IF tool:

- Click Forms Icon (upper right of screen) or Ctrl 2 (forms view)

- Click on the Open Form Icon

- In the “Type a form name..” area type What-If (with the dash), click on the name of the worksheet - click on Open Form

- You will see the worksheet on the right side of the screen; enter the information right into the form

- To get back to interview mode - click on the Step-by-Step Icon (upper right of screen) or Ctrl 1

Re: Fluke sale of property:

DoninGA — Sun, 06 Oct 2019 15:22:27 GMT

To report the sale of Land -

To enter an investment sale other than from a brokerage account (1099-B), follow the steps below.

Click on Federal Taxes (Personal using Home and Business)
Click on Wages and Income (Personal Income using Home and Business)
Click on I'll choose what I work on (if shown)
Under Investment Income
On Stocks, Mutual Funds, Bonds, Other, click the start or update button

Or enter investment sales in the Search/Find box located in the upper right of the program screen. Click on Jump to investment sales

On the next screen, click Yes

On the next screen, click No

On the next screen, choose the option for Land and continue with the section until it completes.