Client received a deposit on land that a man was going to buy. The man backed out of the sale and the deposit was non-refundable.
Is this considered taxable income to my client this year? Schedule D transaction or other income on front page of 1040?
Does this increase his basis in the property?
I read a post from earlier and the circumstances were a little different. I just wanted to clarify the information.
Linda F
Is this considered taxable income to my client this year? Schedule D transaction or other income on front page of 1040?
Does this increase his basis in the property?
I read a post from earlier and the circumstances were a little different. I just wanted to clarify the information.
Linda F
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