Home office - moved from one house to another in 2020

[wtnesmith]

Hello,

We moved in 2020. My wife has a home business and it, of course, moved with us. However, when I try and add the home as a home office it act as if she have two home offices. Which she doesn't...

Your assistance is very much appreciated.

Thanks

WT.

[ColeenD3]

She did have 2 home offices. It is unlikely that the square footage remained the same in both houses or that the adjusted basis of the property stayed the same.

[Carl]

Yes, it's a fact that she did have two home offices in 2020. One in the old home, and one in the new home. Here's the scoop on handling this in TurboTax.

Basically, you will permanently and forever close the old home office. The date of disposition of the old home office must be on the date you moved out of the property, or before.

Next, you will open a new home office. The in service date for the new home office can not be before your closing date on the new house, and it "should not" on or before the date you closed the old home office.

Basically when done, you will have two home offices shown. Just make sure their "active dates" don't cross.