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gretsy0310
New Member

Rental property tax basis for depreciation

Hello - I converted my primary residence to a rental property in June 2020. TurboTax is not only taking 50% of the annual depreciation but it is also is prorating (half) the depreciable basis of my rental property. So the depreciation deduction for 2020 is half of what it should be due to the double counting by prorating both the basis and the annual deduction. Is there any way to fix this computation?

2 Replies
Critter-3
Level 15

Rental property tax basis for depreciation

I bet you made the common  mistake of entering in PERSONAL USE DAYS  when the screen clearly says to NOT do that ... go back and review this screen :  

 

1.jpg

AmeliesUncle
Level 13

Rental property tax basis for depreciation

If Critter's point doesn't fix it for you, be sure you are entering that it is 100% business/rental use.  It was 100% use after you "placed it in service".

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