Where do I enter a loss from the sale of a rental property on form 1041 for a trust?

[rhalexda]

I sold my trust rental property at the appraised value, and have a loss in amount of the settlement costs. Where do I enter that information on form 1041?

[KristinaK]

You should have the rental property income and expenses on Schedule E. One of the items that should be recorded in that section is the depreciable asset (building, land, etc.). You will then need to "sell" the property within the asset module. 

One thing to note is that the loss will be suspended until you mark that Schedule E activity as "completely disposed of".