SALE OF RENTAL PROPERTY

[MGC94]

I need help with sale of rental property. 

Where do I report it? 

Purchased 9/11/2007 for $169,900

sold 10/07/2022 for $185,000

Only 2 things were depreciated / on asset entry worksheet 

The building since 2010 (still depreciating) and appliances since 2015 (finished). I know I have to add back in depreciation. How do I do the math or what am I supposed to do?

She did not buy a like kind exchange 

This is my first rental sale without my mommom helping me. 

Thank you for all your help!! 

[TaxGuyBill]

The simplified version:

1. Go to the Asset Entry Worksheets of the appliances, scroll down, and enter the disposition date and leave the sale price blank.
2. Then go to the Asset Entry Worksheet for the building, scroll down, and enter the sales information.
3. On the Schedule E worksheet, check the box that it is a "fully taxable disposition" (box G???).

[IRonMaN]

Unless the purchase agreement lays out a specific price for the appliances, I would just delete them from your depreciation schedule.  Then the sale is easy.  On the asset depreciation worksheet there is a spot for entering sales info.  Remember to report any closing costs that the seller paid for when filling in the sales info.

[MGC94]

The appliance dept was for $1,500 over 5 years starting in 2015. 

I do not see anything on the closing sheet about appliances at all. 

I thought you had to add back in depreciation? Like look at old years and see what was deprecated and add it back in? 

It was used as a rental for 2022 up until it sold so I do still have the rental on the schedule E 

[MGC94]

What form is used for sale of income producing property? What do I put after I hit the green box? 

[IRonMaN]

Have you looked closely at the asset entry worksheet?

[ljr]

put a zero in for sale of the other item 

[qbteachmt]

Have you been doing as has been suggested, by reading references and using the web, first, so that you don't start with the basic questions, but only any final issues you want to confirm?

For instance, I googled this for you:

proseries sale of rental property

And got results, such as:

https://proconnect.intuit.com/support/en-us/help-article/federal-taxes/dispose-rental-property-asset...

https://proconnect.intuit.com/community/proseries-tax-discussions/discussion/sale-of-rental-property...

And you would read IRS references for recapture of depreciation. That helps you know if you made the right entries in the right places in the program, because the IRS reference tells you what end result you would expect to be able to confirm.

[MGC94]

I'll be trying to finish this return tomorrow. Reading and reviewing the comments. I have done all entry except the sale of the rental property. I plan on doing it on a Sunday when the phone isn't ringing for 10 hours. When there is no walk ins. etc. 

The return is complex. 

1 $400,000 w2

abut 3 more regular w2 

Over $120,000 1099-B gains

2 sch C

1 sch E 

int income

dividends

medical/donations/children/childcare

Lastly, Rental sale........

Only thing missing is a farm  😀