Rental property sale for gain; question on Tax filing I sold my rental home (primary from 2000-2010, rental from 2010-2016) last year and I have a couple of questions on tax filing. I am using H&R Block Software for doing my taxes.
1) I need to fill in Form 4797, should I split the sale into Land and Building, where Land goes into Part 1 of 4797 and Building (depreciated) goes into Part 3 of 4797?
2) If the answer is Yes to previous question, then how should I do the split? a) Just use the same split ratio that is in recent County Property Tax Statement. b) Use the same value for the building as shown in recent County
Property tax statement and put the rest for the land? OR some other suggestion that IRS will be happy with??
Please advice.
thanks for your help,
regards,
harsha |