Where do I report sale of home if home office deduction have been claimed?

The home is primary residence since January 1998 and the net profit is less than $250,000.

4369

Intuit Alumni

May 31, 2019 11:24:10 PM

You would report it under Sale of Home. Type Sale of Home in the search bar and then click Jump to...

You will see the screen "Depreciation After May 6, 1997"

This is where you would indicate the Home Office. See below information for the recapture from Pub 523.

Recapturing Depreciation

If you used all or part of your home for business or rental after May 6, 1997, you may need to pay back (“recapture”) some or all of the depreciation you were entitled to take on your property. “Recapturing” depreciation means you must include it as ordinary income on your tax return.

Determine any depreciation amounts you may need to recapture

1.Enter your taxable gain from line 3d under How To Figure Your Taxable Gain or Loss Worksheet1. 2.Enter your total depreciation from line 3a under How To Figure Your Taxable Gain or Loss Worksheet2. 3.Enter the SMALLER of line 1 and line 2 here and on line 12 of the “Unrecaptured Section 1250 Gain Worksheet” in the instructions to Schedule D (Form 1040). Follow the Schedule D instructions to complete the process

Returning Member

May 31, 2019 11:24:11 PM

Pub. 523 also states that if home office is part of the home's living area, the depreciation taken previously is not considered in a home sale.

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Where do I report sale of home if home office deduction have been claimed?