I owned and lived in a mobile home in a mobile home park for about 16 years. It greatly depreciated in value over time. After experiencing wind damage not worth repairing, I sold the home to the owners of the park for $1000. I just wanted to get out ASAP.
I received a 1099-MISC from the park owners that reported the $1000 sale as taxable income. This doesn't seem "right" to me. Must I report this as income? If I must, is there a deduction available to offset this?
No - You do not have to report the proceeds from the sale of the mobile home as long as you owned it and used it as your main home during at least 2 of the last 5 years before the date of sale.