question archive How to prepare tax return for this case? what forms or section do I need to fill in
How to prepare tax return for this case? what forms or section do I need to fill in
Subject:LawPrice: Bought3
How to prepare tax return for this case? what forms or section do I need to fill in.
On January 3, 2019, the Gomezes sold their prior principal residence. They purchased that residence on January 31, 2014 and had lived there full-time until they sold it this year. They originally purchased the home for $310,000. The Gomez family has never claimed any tax depreciation (nor were they allowed to) on the home. The sales price of the home was $405,000. The home is located at 45 East Entrada Trail, Lubbock Texas 79401.
The Gomez family purchased (and moved into) their current residence at 543 West La Patera, Lubbock, Texas 79401 on January 4, 2019. The La Patera residence is 2,000 square feet. The purchase price of the residence was $500,000 (building value was $350,000 and the lot value was $150,000). The mortgage on the purchase was $300,000. Expenses relating to the La Patera residence were as follows:
Property taxes $10,750
Utilities $3,000
Insurance $2,000
