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April 8, 2022
Question

1031 One for Two

  • April 8, 2022
  • 1 reply
  • 0 views

I sold one and bought two, and I'm using TT online. I set up the two new properties in Rents/Royalties, separately, but once I get through the 1031 interview, where I lumped them together, it won't allow me to link to both the spearated properties in R/R. I'm seeing TT won't support that.

 

I assume I need to link them for TT to generate basis/depreciation correctly?

 

Both new properties are identical (purchase date/seller/...) in every way...can I simplify this issue by combining them in R/R, as though they were one property? And, then reported expenses like that moving forward?

 

Is there any legal reason I can't do this to solve TT inability to support the 1 for 2 issues? I know if I separate them later it will be more of a hassle, but I need to end this TT nightmare.

1 reply

AmyC
Employee
April 12, 2022

 The 1031 exchange is one part of the program. The rental is another section. You will need to enter the schedule E information for each property.

 

The Instructions for Schedule E (Form 1040) state: Complete lines 1a, 1b, and 2 for each rental real estate property.

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