dreyer1
Level 1
‎12-07-2019 07:31 AM

I thought the difference between FMV and amount owed on mort. was added to rents, but that does not explain depreciation recapture.

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sjrcpa
Level 15
‎12-07-2019 07:31 AM

It gets reported as a sale. Can be done from the depreciation Screen or the Dispositions Screen.,


The more I know the more I don’t know.

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dreyer1
Level 1
‎12-07-2019 07:31 AM
Thanx, and I imagine if a 1099-A or C gets issued it would be reported as rental income if debt is forgiven
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sjrcpa
Level 15
‎12-07-2019 07:31 AM
Probably not.

The more I know the more I don’t know.
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KMB14
Level 3
‎12-07-2019 07:31 AM
You might find these articles helpful in that situation: https://accountants-community.intuit.com/articles/1606969-reporting-a-form-1099-a-for-an-individual-... / https://accountants-community.intuit.com/articles/1606989-individual-1099-a-1099-c-foreclosure-repos...
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abctax55
Level 15
‎12-07-2019 07:31 AM

1099-A & 1099-C are different issues/occurrences. The tax implications of each are complex, but I've never heard of either showing up as rental income.

I suggest you google Dave Fogel, CPA and go to his website; he's a "guru" when it comes to how/when COD is reported (and possibly exempted from taxation) and has many articles there for your reading pleasure.

edit....here ya' go:

https://fogelcpa.com/tax-articles

HumanKind... Be Both
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IRonMaN
Level 15
‎12-07-2019 07:31 AM
Another proud member of the team I see. :wink::wink:

Slava Ukraini!
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