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Level 2
posted Feb 25, 2023 6:51:49 PM

rental property under Section 1031 Exchange

Under Section 1031 Exchange, I sold Property A and purchased Property B for residential rental purpose.  I understand that I can continue depreciating the Property A given up. 

For the Rental Income Section,  I enter the details of Property B, its address,  purchasing cost as well as cost of land.  Assuming there are no rental income and expenses of Property A given up, do I have to enter it's address and other information somewhere else?

Thank you.

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1 Replies
Expert Alumni
Feb 25, 2023 8:28:01 PM

Yes, in TurboTax, you first want to enter the Like0Kind Exchange under Other Business Situations= Sale of Business Property (see below).  You will enter the information and create the 8824, then TurboTax will move the information to your Schedule E with the correct depreciable basis.