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Level 1
posted Jan 26, 2020 6:24:03 PM

Sale of Vacant lot

Where do I report the sale of a vacant lot (residential land - no house) in the Deluxe version. Owned property for 14 years so seems like it should be some kind of capital gain.

1 46 8516
2 Best answers
Expert Alumni
Jan 28, 2020 10:38:08 AM

 You'll make the entry by clicking on the Federal Taxes tab, then Wages & Income, then scroll down to Investment Income and select Stocks, Mutual Funds, Bonds, Other.

 

Respond "yes" to Did you sell any investments?  You'll then be asked Did you get a 1099-B or brokerage statement? and you'll answer "no."  Then you'll be shown a list of various investment sales and you'll select "land."

You'll be taken to the screen that says Enter Land Sale Information and you'll be able to enter your information.  Be aware of the tiny box that says "I paid sale expenses not included in proceeds," as it must be checked if applicable to you.

 

Select continue and follow the prompts, where TurboTax will ask you follow-up questions.

Level 15
Jan 21, 2021 3:28:45 PM


@Greenyob wrote:

....How are we supposed to enter sale of land if the only option for what was sold are related to sales reported on form 1099-B?  


Simply indicate that the sale was not reported on Form 1099-B and proceed from that point.

 

The proper calculations are now done programmatically.

 

 

24 Replies
Level 15
Jan 26, 2020 6:55:52 PM


@EdH wrote:

Where do I report the sale of a vacant lot (residential land - no house) in the Deluxe version. 


You cannot report it in the (Online) Deluxe version; you have to upgrade to Premier. Otherwise, enter it in the section shown in the screenshot below.

 

Level 1
Jan 28, 2020 10:26:12 AM

I'm not using an online version but I'm guessing that doesn't make a difference. Thanks.

Expert Alumni
Jan 28, 2020 10:38:08 AM

 You'll make the entry by clicking on the Federal Taxes tab, then Wages & Income, then scroll down to Investment Income and select Stocks, Mutual Funds, Bonds, Other.

 

Respond "yes" to Did you sell any investments?  You'll then be asked Did you get a 1099-B or brokerage statement? and you'll answer "no."  Then you'll be shown a list of various investment sales and you'll select "land."

You'll be taken to the screen that says Enter Land Sale Information and you'll be able to enter your information.  Be aware of the tiny box that says "I paid sale expenses not included in proceeds," as it must be checked if applicable to you.

 

Select continue and follow the prompts, where TurboTax will ask you follow-up questions.

Level 1
Jan 28, 2020 10:41:26 AM

I found it. Thanks.

Expert Alumni
Jan 28, 2020 10:44:08 AM

You are welcome! 

New Member
Feb 5, 2020 7:06:36 PM

I did as you said and made it through part of it.  I received a 1099-S and block 2 is Gross Proceeds where has turbotax is asking for Net Proceeds.  My gross proceeds were 21K but I paid 130K for the vacant lot years ago, before the 2008 bust.  What should I put in the net proceeds block?

Expert Alumni
Feb 8, 2020 1:41:34 PM

The difference between Gross and Net are closing cost, such as commission you may have paid. 

Next the program will ask for basis, and that is where you would enter what you paid for it (plus any expense for improvements). 

New Member
Mar 21, 2020 9:44:50 AM

How do I account for the mortgage for the vacant lot?  Is that subtracted from the Gross price, as well to come to the Net proceeds?

Expert Alumni
Mar 21, 2020 9:52:07 AM

The mortgage has nothing to do with the sale. Mortgage interest is entered on Schedule A as an itemized deduction. It is not a sales expense and does not reduce the gain.

 

Sales expenses include:

 - commissions

 - appraisal fees

 - broker's fees

 - legal fees

 - advertising fees

 - home inspection reports

 - title insurance

 - transfer taxes or fees

 - geological surveys

 - loan charges (points) or other fees paid on the buyer's behalf

 

Sales expenses do not include:

 - mortgage payoffs

 - home equity loan payoffs

 - rent-back costs

 - payoff to creditors

 - property taxes

 - home owner association fees

Level 2
Jan 9, 2021 10:04:09 AM

I am currently using Turbo Tax Deluxe and am trying to enter my 1099s for sale of a pierce of land `(RV lot)

 

and my product is not giving me what I should see

 

after I selected NO  did i receive a 1099B it doesn't reference a second home sale or land

Level 2
Jan 9, 2021 10:04:49 AM

I do not see land on my screen

Level 15
Jan 9, 2021 10:07:00 AM


@edstep wrote:

I do not see land on my screen


The Investment Sale section of the TurboTax program has not yet been finalized.

The Schedule D and Form 8949 are scheduled to be available on 01/14/2021 (subject to change)

Level 2
Jan 9, 2021 10:08:50 AM

thanks it was driving me nuts

Level 2
Jan 18, 2021 1:37:10 PM

Hi, I have sold a vacant lot in 2020 and followed the advice below. However, if I click that I have not received a 1099-B it does not take me to another list ... it shows a page with the header "tell us about this sale" and in blue font "Sale #2", although I have not filled anything in yet. Can you help?

Expert Alumni
Jan 18, 2021 2:06:51 PM

Yes. 

  • Click "Federal Taxes" tab
  • Click "Wages & Income" tab
  • Find the Investment section
  • Click "Update" for the Stocks, bonds, etc...

 

Now you will see what sales are listed. 

 

"Edit" the investment account(s) to find what doesn't belong and delete it. If there should be only one sale then delete the entire investment account.  

 

Then follow the steps outlined in the thread to enter the land sale. 

 

 

 

Level 15
Jan 18, 2021 2:36:41 PM


@DMarkM1 wrote:

Then follow the steps outlined in the thread to enter the land sale. 


That cannot be done, respectfully. The reason being a screen has been removed from the 2020 edition of TurboTax (see screenshots below).

 

 

 

Level 2
Jan 19, 2021 5:31:59 AM

I have reported this as well, they say new forms are coming out.  I think this is a bug but its hard to get to the right people 

I don't believe a tax consultant can get this fixed

Level 15
Jan 19, 2021 5:39:09 AM

Since the IRS will not start processing anything until 2/12  there is time for the program fixes ... everyone needs to continue to be patient a while longer. 

Level 15
Jan 19, 2021 7:55:04 AM

@edstep 

 

Enter the sales proceeds and your cost basis in the second screen in the message I posted earlier. 

 

TurboTax (Intuit) has changed the calculation metrics for investment sales and you will only see the screen depicted in which to enter information from your 1099-S.

Level 1
Jan 21, 2021 2:58:41 PM

all of the suggested solutions imply that there is a prompt asking what was sold.  This may have existed in  prior year versions of TT but is not there on TT Premier 2020.  How are we supposed to enter sale of land if the only option for what was sold are related to sales reported on form 1099-B?  

 

The tax laws did not change regarding sale of land for 2020 vs 2019 yet the turbotax program is lacking the required input options.  When will this be updated and corrected?

Level 15
Jan 21, 2021 3:28:45 PM


@Greenyob wrote:

....How are we supposed to enter sale of land if the only option for what was sold are related to sales reported on form 1099-B?  


Simply indicate that the sale was not reported on Form 1099-B and proceed from that point.

 

The proper calculations are now done programmatically.

 

 

Expert Alumni
Jan 21, 2021 3:33:11 PM

The sale of land is reported on sch D. 

Go to income section 

1. click on Add More Income

2. scroll down to Investment Income

3. Show more

4. Select  Stocks, Mutual Funds, Bonds, Other

5. Start:  Continue answering the questions.

  1. Select Yes,
  2. 1099-B? - Select no
  3. Select I'll enter one sale at a time  
  4. the boxes appear for your entries for the lot

@Greenyob

New Member
Jan 25, 2021 4:49:22 PM

Respond "yes" to Did you sell any investments?  You'll then be asked Did you get a 1099-B or brokerage statement? and you'll answer "no."  Then you'll be shown a list of various investment sales and you'll select "land."

 

This doesn't happen in my software when I try to enter the sale of a piece of land.  My software goes directly to enter a stock sale.

 

What do I do?

Level 15
Jan 25, 2021 4:51:44 PM


@081853gb wrote:

Respond "yes" to Did you sell any investments?  You'll then be asked Did you get a 1099-B or brokerage statement? and you'll answer "no."  Then you'll be shown a list of various investment sales and you'll select "land."

 

This doesn't happen in my software when I try to enter the sale of a piece of land.  My software goes directly to enter a stock sale.

 

What do I do?


The screens were changed for 2020. Simply enter the information you have in the program as in the directions posted by @AmyC:

 

4. Select  Stocks, Mutual Funds, Bonds, Other

5. Start:  Continue answering the questions.

  1. Select Yes,
  2. 1099-B? - Select no
  3. Select I'll enter one sale at a time  
  4. the boxes appear for your entries for the lot