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Sold fully depreciated rental property

June 2020, sold fully depreciated rental property which was advertised for rent or sale.  Rental income=-0-.  Do I go straight to Sale of Business Property & add to cost of property sold my condo expenses = management fees/ins, RE taxes, repairs, & any assets  such as new kitchen cabinet, appliances, & carpeting and settlement charges?  Or do I go to rental properties enter rental expenses condo fees/ins, etc. then go back to Sale of Business Properties and add to cost of property new cabs, appliance, carpeting and settlement charges (Sch E)?

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1 Reply
DianeW777
Expert Alumni

Sold fully depreciated rental property

If the fully depreciated property is no longer listed on your tax return, then enter your rental expenses as you normally would and then enter the sale under Sale of Business Property.  You will need the depreciation schedule you had previously to have all of the appropriate numbers for cost and depreciation that was used.

 

If they assets are still listed in your TurboTax return, even though they have been fully depreciated, then complete the sale by going through each asset to indicate the sale and answer the sales questions (selling price, sales date, selling expenses, etc).

 

It seems you used the improvements using the Safe Harbor method as indicated in your previous post.  Please review that answer for assistance with that and the sale of the property. Do not duplicate this in the sales section (do not use the cost again).

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