topic Vacation home sale/rental in Get your taxes done using TurboTax

Vacation home sale/rental

BoiseKevin — Mon, 06 Jan 2020 00:40:43 GMT

Sold a vacation home. Used as a rental for 2+ years and 2nd home for last 5. Business use is 20%, personal use is 80%.

TT instructions say to enter just 20% of the buy/sale data in the "Sale of Business or Rental Property" section. Where does the 80% buy/sale data get entered?

I thought it would be in the "Investment Income" section under 2nd home. However, if you check the "Rental" use button about five pages in; the program directs you back to "Sale of Business..." and wants to remove the entry. Where should I report the 80% personal use?

Re: Vacation home sale/rental

soultax09 — Mon, 06 Jan 2020 03:40:37 GMT

other than the part of the gain that was due to depreciation deductions, it's all long term capital gain so it doesn't matter.....put it all on form 4797 or even enter it in TT as the sale of your home but tell TT that you did not use it as your main home for 2 out of the last 5 years and also that you rented it out....there is a spot where you can enter depreciation deductions taken.

Re: Vacation home sale/rental

ThomasM125 — Wed, 15 Jan 2020 00:20:09 GMT

Report one hundred percent of the sale in the "Sale of Property/Depreciation" section, in the rental income and expense area of TurboTax. In that section, you will be asked to enter the depreciation taken on the property so it can be properly reported on the tax return.

In your situation, your gain, including the depreciation recapture, will be taxed at long term capital gain rates, which may be less than your ordinary tax rates. Be sure to enter all expenses associated with the sale of the property to minimize any taxable gain.

However, if you had used the property as your primary residence in two of the previous five years, you may be able to exclude a portion of the gain from taxation.

Re: Vacation home sale/rental

pmonseliu — Wed, 17 Mar 2021 19:43:31 GMT

Where do I enter data for sale of vacation home from 1099-s

Re: Vacation home sale/rental

JeanneLO — Wed, 17 Mar 2021 19:56:40 GMT

Please see this TurboTax FAQ for information on where to enter a 1099-s: Where do I enter the sale of a second home, an inherited home, or land on my 2020 taxes?

@pmonseliu