Question

Error in the Home and Business Edition?

Forum|Forum|3 years ago
March 14, 2023
2 replies
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I am using the Turbo Home and Business. After entering the information of a straight 1031 like kind exchange, my tax due boosted up greatly. Instead of deferring taxing the gain of sale, it taxes it. I double and triple checked the information I entered. nothing was found wrong. Is there a bug in the software? What shall I do?

TurboTax Home & Biz Windows

R

RobertB4444

Unless you enter the like kind exchange into the specific section for it, it will show as a sale and the gain will be there.

Make certain that you are following the path for like-kind exchanges.

@lukehuang

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L

lukehuangAuthor

I did follow that direction.

Checked Any additional like-kind exchanges (section 1031)

Checked The like-kind property I exchanged was used in a trade, business, or rental, in Like-Kind Property Given Up

Chose NO to Did you make this exchange with a related party?

Chose NO to in this exchange. did you also give up any items other than cash that are diferent in character and nature tharthe main property that was the subject of the exchange?

Left the three boxes blank in Different property received

Then it finally showing a message: Your Like-Kind Exchange Results: No Taxable Gain. However, my tax due increased several ten thousands.

Form 4797 lines 7 and 24 show there is a sale gain in over 200k.

Form 8960 line 5a shows the same amount gain from property sale.

But Form 8824 does not show that number.