Thank you for your answer! Sorry for the delay in replying...I was working out of town. Do you know where I can find out how to fill out the IRS form 8824 for like kind exchanges? The questions Turbo Tax ask are so confusing I thought I would just go to the Forms section and fill it out that way. Unfortunately, I have not be able to figure out exactly what the calculations are asking for on lines 5 and Line 18 of that form . I usually do my family's taxes but may have bitten off more than I can handle this year. I've tried to get professional tax help but nobody in my area is accepting new clients! Thank you for any advice you can give me!!
... View more
I sold a home that hand been used as a rental for 5 years. It was purchased as a family home for 300,00, but it was not a good time to sell it when we purchased our new home. I sold the house for 415,000 (adjusted cost basis 325,087) and paid off a 142,000 mortgage. I purchased 10 acres of bare land with a 1031 exchange, for 85,000. I can not figure out HOW to enter this in Turbo tax. It asks me if I received any non-like kind property and I click "no" but then it tells me it should add up to 187,000 somehow. And whatever I enter makes turbo tax say my tax is more than I got for the property! Yikes!! I should only have a profit of 4 or 5 thousand dollars!! Please help! I had to file an extension as the 1031 exchange closed after April but want to finish my taxes ASAP so I can minimize my penalty.
... View more