Intuit Financial Community: taxdetective - Viewing Profile

I know there are rules about not creating a capital loss and re-allocation of proceeds between land and building. I'm trying to set up a pro-forma tax file with proceeds equal to cost to showcase how a S. 85 rollover works and to show that you should still report the disposition of said assets.

When I create proceeds equal to ACB or Cost, as in no tax owing, no gain no loss, because I still need to report the disposition, I want those amounts to show up on the Schedule 3, but the line items disappear from Schedule 3 even though they still show on the rental T776 Asset list as being disposed of with proceeds equal to net cost or aCB.

Unless the proceeds on either land or building are positive, they don't show up on Schedule 3 if the net is nil and under no circumstances will these schedules generate a capital loss.

Any insight would be welcome. Am I missing something?