turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

How would the sale of a house I own affect my taxes in 2019 ?

I bought it for 175,000.00 but is only selling for 170,000.00. I also had to spend 15000.00 to fix what was broken.
x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

4 Replies
Hal_Al
Level 15

How would the sale of a house I own affect my taxes in 2019 ?

It depends on how the house was used. if this was for personal use (used as a first or second home by you or family members), the loss is not deductible. If you receive a form 1099-S, the sale will have to be reported on your tax return; but you will show zero (0) for a gain or loss. TurboTax can handle this.

 

If this was an investment , such as"house flipping", then the $20,000 loss (175K + 15K - 170K = 20K) is deductible. You report it as a capital loss, on form 8949 and Schedule D; unless you are in the business of house flipping, then you report it as a business loss, on Schedule C.

 

If it was the sale of a rental house, it is still a capital loss, but the "depreciation recapture" will reduce the amount of the loss.

 

How would the sale of a house I own affect my taxes in 2019 ?

The house was used as a first home by my daughter and grandchildren. They did not pay me any rentor taxes on the house. How does this affect how I report the money from the sale?

rjs
Level 15
Level 15

How would the sale of a house I own affect my taxes in 2019 ?

Using the house as a home for your daughter, who did not pay rent, is a personal use. You cannot deduct the loss on the sale. If you did not receive a Form 1099-S you do not have to report the sale at all.


If you did receive a Form 1099-S, you enter the sale in TurboTax as an investment sale. Start in the topic for "Stocks, Mutual Funds, Bonds, Other." When it asks you what type of investment you sold, select "Second Home." The sale will be reported on Form 8949 and Schedule D, with zero gain or loss. (These instructions for entering the sale are for 2018 TurboTax. TurboTax for 2019 is not available yet. I assume the procedure will be similar.)

How would the sale of a house I own affect my taxes in 2019 ?

Thanks for the info.  Will be in touch with you during tax season .

message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question
Manage cookies