TP sold 1/8 of a farm acquired from relatives death. In 2011 Farm was share cropped and the TP will report 1/8 of the gross minus 1/8 the expenses for a net profit on form 4835. A CPA several states away is handling all of this for the family and my TP received a worksheet. with 1/8 income and expense. Also 1/8 of the cost basis regarding the sale and 1/8 of the gross proceeds. Cant get ahold of TP but it kinda sounds like the relative died in 2011 for no 4835 was filed in 2010 and there is No prior depreciation on the work sheet. This type of sale is a first for me but I am leaning towards Part 1 of 4797. Property acquired over 30 yrs ago.
Now looking closer at the worksheet (I have scanned copy) it hand written it says "acquistion date 1-20-2011" which I believe explains why no form 4835 in 2010.
Now looking closer at the worksheet (I have scanned copy) it hand written it says "acquistion date 1-20-2011" which I believe explains why no form 4835 in 2010.