Jointly Owned Home Sale

[emankowski]

My client and his former girlfriend bought a home together.  He is the only one on the mortgage, both on the deed.  They broke up and sold the home in June.  Only one 1099-S sent, in her name only, showing gain of $475, 000.  (They no longer speak.)  At the time, my client took $220,000 and she took $255,000.  He has no closing statement or any other documents relating to this sale and claims no access due to distrust in the realtors involved being from "her camp".  Is it okay to estimate here and to mark as such since gain is under the $250,000 and they pass ownership/residence test?  Am I to enter the totals, reduced by half for purchase price for adjusted purchase price and amount realized, reduced by half, plus his $220,000 as adjusted sales price?  I cannot seem to find guidance anywhere, and I am hesitant to use estimates rather than actual documents, since I am concerned he's going to be rejected or investigated.  Any advise would be greatly appreciated.  Thank You!

[TiredFarmer]

Does the mortgage company not have something where and how they got paid also the realtor would have to give him documents if 1/2 the sale applied to him?  If I were you I would want something in my files to back up what I was putting on the tax return.  Hopefully some of the good ones jump in here with good advice  I am the worst at putting my thoughts on paper sorry.

[Terry53029]

I assume you mean the 1099S shows a selling price of $475000 NOT GAIN. you should not have to estimate anything. Your client should know how much his half of the purchase price was. If his profit was less than the $250000 exclusion (assuming he meets the requirements) then don't worry about closing cost, as it won't make any difference. Just fill out schedule D with His Basis, and 1/2 of the selling price.