Client own property that he used 50% as home and 50% for rental. He sold property for $1,300,000 and did partial exchange. Exchange rental portion with $730,000 property and escrow gave him 50% of the sale price ($650,000).
Under depreciation schedule, I have 50% business use. When I entered $730,000 as FMV for property received, Lacerte multiple 2 and show $1,460,000 for FMV in Form 8824. Further investigated, under "exchange of home - residential" form 8824 worksheet, it also show $730,000 FMV received. But, he actually only received $650,000 for the sale of home portion.
I tried to contact Lacerter for help, but, they said they can not tell me how to enter report???
Does anyone know how to show $730,000 on form 8824 worksheet for "exchange of home - business" and $650,000 on "exchange of home - residential"?
thank you.
This discussion has been locked. No new contributions can be made. You may start a new discussion here
I'm a ProSeries user, so I may not be much help, but you are you able to enter a 'new' Like-Kind exchange without linking it to the current asset? It might be easier. That way you can enter the actual numbers that you want (the Adjusted Basis, $650,00 sale price and $730,000 purchase price), and the program won't get confused with the residential portion.
Thank you for your answer. When I check Form 8824 instruction, it said when property has multi use, I should use worksheets to calculate home and business 8824, then, add them together to real form 8824 for return filing.
Can ProSeries handle this type of 1031 exchange? I talk with Lacerte, not too helpful.
You have clicked a link to a site outside of the Intuit Accountants Community. By clicking "Continue", you will leave the community and be taken to that site instead.