How do i enter a 1099 s for inherited property sale long term gain but no gain or loss

trishlindell — Thu, 06 Jun 2019 09:38:42 GMT

You will enter this information as the sale of a capital...

DS30 — Thu, 06 Jun 2019 09:38:43 GMT

You will enter this information as the sale of a capital asset.

If no one used the home for personal use before the sale, enter this as an investment. (The IRS does not allow a capital loss on the sale of personal use property. This rule applies to the sale of a vacation/second/inherited home that was a personal use property).

Click this link for further information about reporting the sale of a capital asset

To enter this transaction in TurboTax, log into your tax return (for TurboTax Online sign-in, click Here and click on "Take me to my return") and type "investment income (gains and losses)" in the search bar then select "jump to investment income (gains and losses)". TurboTax will guide you in entering this information (see step 6 below)

Alternatively, to enter this transaction in TurboTax Online or Desktop, please follow these steps:

Once you are in your tax return, click on the “Federal Taxes” tab ("Personal" tab in TurboTax Home & Business)
Next click on “Wages & Income” ("Personal Income" in TurboTax Home & Business)
Next click on “I’ll choose what I work on” (jump to full list)
Scroll down the screen until to come to the section “Investment Income”
Choose “Stocks, Mutual Funds, Bonds, Other” and select “start’ (or “update” is you have already worked on this section)
The first screen will ask if you sold any investments during the current tax year (This includes any sale of real property held as an investment property so answer “yes” to this question)
Since you did not receive a 1099-B, answer “no” to the 1099-B question
Choose type of investment you sold - select everything else
Some basic information:

Description – Usually the address of the property sold
Sales Proceeds – Net proceeds from the sale (on 1099-S amount received for the property) Do not include closing costs here. Instead increase the basis by any allowable closing costs. Please refer to IRS - figuring basis on property for information about allowable closing costs.
Date Sold – Date you sold the property (on 1099-S)

Tell us how you acquired the property - inheritance
Enter the date inherited
Enter the your fair market value - Fair Market Value of the property at the time of inheritance plus any capital improvements since inheriting it. (Also, you can increase the basis (FMV) by the allowable closing costs)
If you had a loss, on the question of "Did you use this property for business or investment?" If the inherited house was not used for any personal use (no family member lived in it or used it between the time of inheritance and the sale), you will answer that this was for investment.

Click IRS answers on Gifts and Inheritance for more information from the IRS on the sale of an inherited house.

Re: How do i enter a 1099 s for inherited property sale long term gain but no gain or loss

JefBlfturb0 — Fri, 09 Apr 2021 21:30:24 GMT

I sold on 12/02/20 a piece of land that I purchased 05/27/79. The purchase price was $25,950 and the sale amount $45,000. I received a 1099-S showing the sale price. Using my Turbotax home and business, how do I enter this Capital Gain?

Re: How do i enter a 1099 s for inherited property sale long term gain but no gain or loss

AmyC — Fri, 09 Apr 2021 21:39:27 GMT

@JefBlfturb0 To enter your capital gain on sch D, follow these steps:

Go to income section
click on Add More Income
scroll down to Investment Income
Show more
Stocks, Mutual Funds, Bonds, Other
Start: Continue answering the questions.
1. Yes,
2. 1099-B - no,
3. one sale at a time and the boxes appear for your entries.

The sales price should match the 1099-S you received.

The cost basis is what you paid, plus improvements plus expenses of sale.

Holding period would be long term since more than 1 year.

topic How do i enter a 1099 s for inherited property sale long term gain but no gain or loss in Deductions & credits

How do i enter a 1099 s for inherited property sale long term gain but no gain or loss

You will enter this information as the sale of a capital...

Re: How do i enter a 1099 s for inherited property sale long term gain but no gain or loss

Re: How do i enter a 1099 s for inherited property sale long term gain but no gain or loss