Sale of rental housse

When you sell a house with a promissory note and receive monthly payments, you should report the sale under "Sale of Business Property" if the house was used as a rental. This ensures the sale and installment payments are correctly reported.  Additionally, you need to report the interest portion of the monthly payments as "Interest/income Earned on a Sale of Property."

Steps in Turbo Tax:

1. Be sure you are logged into TurboTax
2. Click this link to record the installment sale after you enter the property information. It will take you through the process to record the installment sale and interest income.

For more detailed guidance, you can refer to these resources:

• TurboTax & IRS Help Articles:
  • How do I report an installment sale?
  • How do I account for interest (installment sales) income?
  • Publication Installment Sales

[Edited 02/16/2025|9:37 am PST] @VanceRod