Hi, I sold my home in 2018 and split the proceeds with my ex. How do I enter this in to turbotax?

michael-lynch-al — Sat, 01 Jun 2019 17:51:06 GMT

I have a 1099 S. I don't know what to enter into turbotx premier. If the house sold for 1,000,000 and the mortgage was 200,000, the proceeds would be 800,000 split between us is 400,000. What can I enter in to turbotax to reflect a capital gains?

For clarity, the mortgage doesn't come into play, the gai...

LisaS — Sat, 01 Jun 2019 17:51:07 GMT

For clarity, the mortgage doesn't come into play, the gain is based on what you purchased the home for. Below is an example of how to handle the split in TurboTax. Remember that the IRS has also received the 1099S (in your social security number) so they are looking for that number.

-You'll need the purchase price of the home (I'm going to use $300,000 for my example)

-Report the full $1,000,000 as the sales price

-report $300,000 as the cost of the home (this is my example number, use your actual purchase price)

-report all the costs of sales (for example, the commission you paid on the sale of the home)

-If you qualify for the home exclusion then report that

-if this still actually generates a capital gain (see some numbers below) then go back and increase the cost of sales by your ex's half.

Sale: $1.000.000

Purchase Price: $300,000

Cost of Sale: $25,000

Net "gain": $675,000

Home sale exclusion (single filing status): $250,000

Actual realized gain: (675000 - 250,000) = $425,000

in order to reduce YOUR gain you would take 50% of the Net gain ($675000) and add it to your cost of sales.

new cost of sales is now $25,000 + $337,500 = 362,500

New net gain: $337,500

Less home exclusion: $87,500 capital gain

topic Hi, I sold my home in 2018 and split the proceeds with my ex. How do I enter this in to turbotax? in Deductions & credits

Hi, I sold my home in 2018 and split the proceeds with my ex. How do I enter this in to turbotax?

For clarity, the mortgage doesn't come into play, the gai...