Skip to main content
March 11, 2024
Question

I carried a seller financed mortgage for a number of years. I claimed the interest on the note on my taxes. The owner sold the house . How do I claim this?

  • March 11, 2024
  • 1 reply
  • 0 views
I received a lump sum payout, how do I account for this on my taxes?

1 reply

leeloo
March 11, 2024

You have an Installment Sale. Ideally, you filed Form 6252 and not only reported the interest each year but also the principal. You would just make an entry for the income you received and you will close out the sale.

 

https://www.irs.gov/publications/p537#:~:text=An%20installment%20sale%20is%20a,is%20called%20the%20installment%20method.