Welcome back! Ask questions, get answers, and join our large community of tax professionals.
cancel
Showing results for 
Search instead for 
Did you mean: 

How do you report a short sale of rental property in lacerte

dreyer1
Level 1

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

0 Cheers

This discussion has been locked. No new contributions can be made. You may start a new discussion here

1 Best Answer

Accepted Solutions
sjrcpa
Level 15

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.

View solution in original post

0 Cheers
6 Comments 6
sjrcpa
Level 15

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.
0 Cheers
dreyer1
Level 1
Thanx, and I imagine if a 1099-A or C gets issued it would be reported as rental income if debt is forgiven
0 Cheers
sjrcpa
Level 15
Probably not.
The more I know, the more I don't know.
0 Cheers
KMB14
Level 3
0 Cheers
abctax55
Level 15

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
0 Cheers
IRonMaN
Level 15
Another proud member of the team I see. :wink::wink:

Slava Ukraini!
0 Cheers