This article will help you:
- Enter a home sale exclusion in ProSeries Basic or ProSeries Professional
- Generate a section 121 exclusions
- Link rental property to a Home Sale Worksheet
- Report a home sale from a 1099-S
- Enter a home sale exclusion when an installment used
Refer to Pub 523 for more information about home sale exclusions.
How do I enter a sale of a home that is eligible for a section 121 exclusion?
Follow these steps to make a copy of the Home Sale Worksheet:
- Open the individual tax return.
- Press the F6 to bring up Open Forms.
- Type sale to select the Home Sale Wks.
- Click the OK button to create a copy of the Home Sale Worksheet.
- Enter the address of the home sold during the tax year.
- Click the Select button to go to this copy of the Home Sale Worksheet.
Follow these steps to enter the sale of a home using the Home Sale Worksheet:
- Complete Part I - Gain or (Loss).
- It may be beneficial to complete the Adjusted Basis of Home Sold Worksheet first. Select the QuickZoom below line 5 to access the Adjusted Basis of Home Sold Worksheet.
- Complete Part II - Qualifying for and Electing the Exclusion for Sale of Your Main Home.
- Complete Part III - Nonqualified Use and Reduced Maximum Exclusion.
- Complete Part IV -Exclusion and Taxable Gain.
- This includes the applicable fields under the Alternative Minimum Tax Calculation section.