I sold my business and I am reviewing the "Business Asset Summary"\and not sure if I need to enter any numbers here. I had a "new building" listed as an asset that was part of the total sale of $400,000. The business sale price included an old building and new building on 2 parcels of land, all sold to a new business owner for $400,000. Under the Asset Summary the "new building" had a cost of $192,807, was 100% business use, and had prior depreciation of $89,765 at the time of sale. Turbotax asks me if I stopped using it, I said yes, it asks for the date of sale and date acquired - I input that, special handling instructions - nothing here, and then "sales information". Under "sales information" it asks for "Sales Price (business portion only)" and "Sales Expenses (business portion only). Do I leave these 0? Do I enter anything in the two fields? I have several items on my "Asset Summary" that I will have to enter such information if I' not supposed to leave them blank. Note-- I have already combined my total prior depreciation and current depreciation on on form 4562 and input that information under "Depreciation taken on this Property" in the Sale of Business or Rental property section. The total of this Depreciation is $106,134, and included, among others assets, is the "new building" prior and current depreciation of $89,765. Thank you.
You will want to allocate your sales price among your big asset items. The lower ones will be sold for $0 as part of the package. Do not leave them blank. Everything was sold!
How would I allocate my sales price among my biggest asset items? For example If one of my biggest asset items was the "new building" would I take the the depreciable basis of $192,807 - total depreciation taken (89,765 prior + $4,319 current) = $98,723? And then insert this $98,723 into the "Sales Price (business portion only) field? Not sure how to allocate my $400,000 sales price among my biggest asset items, figured I could only do it on depreciation not taken. thanks