asked

I need assistance in filling out a 2005 Form 6252 for an installment sale of a business. My brother and I sold the business in April 2005 for $350,000, after purchasing it in 1985 for $200,000 and making $175,309 in improvements. The buyer paid all closing costs of $49,577.74, and we received $60,000 in principal and $12,107.04 in interest in 2005. The remaining balance of $200,000 is to be paid monthly at 7% over 20 years. I need help understanding how to fill out lines 8, 19, and 21, and whether I should use Schedule D or Form 4797.

May 23rd, 2023

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