those items need to be reported as depreciable assets line 9a and depreciation taken on them based on the date placed into service,
Robert's reply: OK. that might have been the problem. Those 3 items were not there. I had to add them manually.
we can't see your return but a quick way to check is to see if the ending balance line 9a is
about $47K more than the beginning balance sheet. If not something went wrong on your asset entry.
if correctly entered line 9b at the end of the year should be more than the beginning of the year by the amount of depreciation calculated for each of those assets.
Robert's Reply: The amount is about $25,000 greater, but I believe it is because of Section 179, I was able to take some "Special Depreciation/expenses" this year. So I think I am OK here.
one possibility is that section 179/bonus was taken (should be visible in the asset entry worksheet) for those assets, but disallowed if the net rental income before these deductions was a loss. then the depreciation becomes a book tax difference that might require manual entry on schedule M-1 line 4a.
Robert's Reply: There is no loss, so I don't think this is a problem now.
if you have suppressed the completion of page 6 because of the answers to question 4 in schedule B uncheck those so you can see what Turbotax would be reporting.
Robert's Reply: There is no Schedule B. This might be because the "Company" is a pass-through entity.
All I do is fill out income minus expenses, then send out K-1's.
"I would have thought TurboTax would automatically add the assets when I add them to the
"Rental Assets Depreciation". it should have but then did you import from accounting software like QB. if you did then within QB you would meed to assign a code so when you import Turbotax knows where to place them. so go into the rental asset section to see if they there. then see what depreciation was computed.
Robert's Reply: I enter everything manually. In the past it was income and expenses only and very simple ( no overhead, mortgage, accounts receivable, etc....)
This is the first time I had to deal with depreciation. I think I am OK now. The fact that I was able to add those 3 items to "assets at the end of the year" on the quick entry for the balance sheet seems to fix the problem.
Everything is "In Balance" on all 3 items now.
Thank you for your help!!
