qbteachmt
Level 15
03-09-2020
05:46 PM
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
It's not an issue of advantage for which form to use. It's an issue of Facts and Circumstances.
Sched C = they are going to be doing this as a business or side business.
Sched D = they did it once, such as bought a house for themselves, but got an offer and sold it instead of keeping it = investment.
And what you have is not Expenses, These costs are part of basis = invested in the property sold.
If you have ongoing operational expenses (not directly related to what they bought, improved, and sold), they likely are running a business = Sched C.
*******************************
Don't yell at us; we're volunteers
Don't yell at us; we're volunteers