Welcome back! Ask questions, get answers, and join our large community of tax professionals.
- Topics
- Training
- Community
- Product Help
- Industry Discussions
- User Groups
- Discover
- Resources
Turn on suggestions
Auto-suggest helps you quickly narrow down your search results by suggesting possible matches as you type.
Showing results for
- Intuit Accountants Community
- :
- ProSeries Tax
- :
- ProSeries Tax Discussions
- :
- Re: How to report or handle a sale an easement of a land lot with a rental home that has a depreciation basis?
How to report or handle a sale an easement of a land lot with a rental home that has a depreciation basis?
Options
- Mark Topic as New
- Mark Topic as Read
- Float this Topic for Current User
- Bookmark
- Subscribe
- Printer Friendly Page
sengchang
Level 1
06-21-2023
01:30 PM
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
A taxpayer own a rental home.
The city is expanding the road and bought a small portion of the land lot of his rental property for $25,000.00. He was issued and received form 1099-S.
1. Can I just reduce the basis of the land by the $25,000.00 the taxpayer received?
2. If I did not report the sale, would the IRS come back the the taxpayer need to report the sale?
Labels
1 Comment 1
TaxGuyBill
Level 15
06-21-2023
01:41 PM
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
1) In most cases, yes. Unless you have a way to determine the Basis of the specific piece of land, you just reduce the Basis of the entire land.
2) Probably, so I would report it as $25,000 Sale Price with $25,000 Basis.
