Didn't Receive 1099-S for Selling Inherited House

[Hamp-tax1]

My wife and sister inherited their mother's house which was deeded to both (50/50) in April 2019, then sold at a loss in August 2019 ($110,000 vs. $171,720 PVA).  A 1099-S was not and will not be provided by attorneys.  I'm planning to use numbers from contract, but not sure where to enter data.  Any guidance would be most appreciated.

[Bsch4477]

Since inheritance is not taxed and you did not receive a 1099-S you do not have to report that sale. 

[Hal_Al]

How was the house used after it was inherited?  If for personal use (e.g. any family members continued to live in it), you may not deduct the capital loss, on the sale.  However, if the home sat vacant, it is classified as investment property and the loss is deductible. 

In TurboTax (TT), enter at:
- Federal Taxes tab (Personal in  Home & Business)

 - Wages & Income

Scroll down to:

-Investment Income

   -Stocks, mutual funds, Bonds, Other (Real estate is other)

Answer no, when asked if you got a 1099-B. then follow the interview. When asked if used for business or rental, check "other investment purpose"

[Hamp-tax1]

Hal_Al -  Thanks so much for your feedback.

[Bsch4477]

Before deducing a loss from the home sale be sure the asset fits the definition of investment property.  Did you advertise the home for rent or act in any other way to demonstrate a good faith effort  to derive a profit from it?

An investment property is a property that is: not your primary residence, and. is purchased or used in order to generate income, profit from appreciation, or to take advantage of certain taxbenefits.