We sold property for a long-term capital loss of $17k. I was expecting to see a $3k deduction, but TurboTax said we couldn't claim this. Can you help?

[rylanderjp]

We purchased the property in 2000 for $17K+ expecting that it would increase in value. We sold it for $187.50 to another investor. We were expecting to be able to deduct the long-term capital loss for $3k/year, but TurboTax said not. 

[JulieR]

Was this property held for investment or was it your personal residence?

[rylanderjp]

The property was for investment. It remained unimproved.

[JulieR · Accepted solution]

Go back through the interview related to the sale of this investment property.  Be sure you select "Other investment purpose" when asked "Any Business or Rental Use?" (see screenshot).  This should allow you to take the deduction.  Please comment if you need any additional assistance with this issue.