Home purchase 100% for bus. Never lived there.Showed sale of bus prop gain flowed to her K-1. Deed her name. Could she show sale of pers. residence with no gain?.

[Christine384]

S corp. Rooms all used for dress making and client appointments.  bought in 2000 sold in 2017. 

[TaxMonkey · Accepted solution]

Its unclear what you are trying to accomplish.  You stated the s-corp reported the sale and the gain flowed to her on the K-1.  Why do you want to report the sale again on her personal return?  Did she received a 1099-S?

[abctax55]

Good deciphering of a "less than clear" post.

[Christine384]

She was unhappy with the results of the Corp. gain on the sale.  She found an accountant who was going to change it to a personal residence with no gains.  I am no longer her accountant.  I just wanted some feed back to see what I may have missed.  Yes she got the 1099-S in her personal name.  For 18 years the business took depreciation and all expenses in the home.  I don't see how it could not be a gain in the business.  

[IRonMaN]

I'm thinking it's kinda hard to say personal residence if they never lived there ---------------------- especially if it was owned by an S corp.

[Christine384]

House deed in her name and not the corporation.  Thanks for comment.

[abctax55]

But you DID say "she never lived in it...."
HAS it been depreciated in the S-corp?

[Christine384]

Yes everything went through the business.  She found an accountant who was going to just put it as a personal residence sale.

[abctax55]

I suspect that, since the "deed was in her name"  SHE got a F 1099-S in HER social showing the gross sale.