If I received money from an insurance claim, but didn't use it on my property, how and where do I claim that?

[dave26]

I received approximately $30,000 on a claim for an outbuilding but chose not to rebuild. Do I claim that as income? And where do I do that at in Turbotax?

[MichaelL1 · Accepted solution]

You can, however, have taxable income when the insurance proceeds exceed your cost basis in the damaged item.  

So if the building cost $15K, you may have $15K of gain.  If the building was depreciated in the business this is treated differently.  It would be like you sold the building for $30K.

Your details are a little sketchy, but if business it goes in the sale of a business asset.  If personal, the sale of the building goes under the investments section.

See this link as it may be helpful.  

https://www.sapling.com/7836238/property-insurance-proceeds-taxable