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Level 1
posted Sep 23, 2022 10:44:03 AM

Does turbo separate rental property sales into land for part one of 4797?

My rental prop sale is only showing on part III of 4797, nothing on part I for land.  Something I did wrong.

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Level 15
Sep 23, 2022 10:46:01 AM


@samschnauzer wrote:
My rental prop sale is only showing on part III of 4797, nothing on part I for land.  Something I did wrong.

If you did not separate the land from the structure (in the program), then the entire property will be reported on Part III.

3 Replies
Level 15
Sep 23, 2022 10:46:01 AM


@samschnauzer wrote:
My rental prop sale is only showing on part III of 4797, nothing on part I for land.  Something I did wrong.

If you did not separate the land from the structure (in the program), then the entire property will be reported on Part III.

Level 15
Sep 23, 2022 12:44:24 PM

if you included land in the cost basis of the depreciable portion you have over-depreciated.  if you separated land there is a separate section to show that portion of the sales price and selling expenses. 

 

when you enter the cost of property it's up to you to separate the land cost from the building cost. Turbotax will not do it for you.  and when you sell you must allocate the proceeds and selling costs. Again Turbotax will not do it for you. 

Level 1
Sep 24, 2022 7:28:50 AM

Thank you.  I must not have separated...where do I do that now?  I have a review sheet that says: 

  cost              100,000

  land               30,000

 business        100%

prior deprec.  xxxx