Using Turbotax how do I reduce the basis of residential rental property for a property casualty insurance proceeds?

Please clarify - did you dispose of the property in 2024 or were you just given insurance proceeds to handle repairs for damages?

@jmassman82520 

Just given insurance proceeds to handle repairs for damages.

If the insurance proceeds returns the property to it's "pre-damaged" state, the insurance is not reported as income and the basis is not adjusted. 

HERE is a link to a similar question