MarilynG1
Expert Alumni

Investors & landlords

If you had no positive rental income in 2022, no point in going back to amend to put the rental in QBI.  You need positive income to benefit from QBI.

 

Capital improvements you did to the property after it was no longer a rental, are added to the Cost Basis.  Sales Expenses are also added.  Your final Cost Basis is subtracted from Sales Proceeds to calculate gain/loss.

 

Remember that all depreciation (taken or not) that the property was eligible for will be subtracted from the  Cost Basis to get an Adjusted Basis, before adding improvements/sales costs.

 

Since you sold the property in the same year that you stopped renting, you could still report your expenses as Rental Expenses on Schedule E.

 

Here's more info on Expenses Preparing Rental for Sale.

 

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