Hello! I want to close out my home business. I have done it for years on Schedule C, and still carry some assets that are partially depreciated. In 2024, I was non-active; no expenses, no income. My goal is to drop it from my taxes, convert all assets to personal use, and walk away.
For 2023, I filed as normal and did not indicate converting any assets to personal use. I have no Section 179 deductions, no inventory, no home office, or any other outstanding issue.
For 2024, do I need to do a schedule C? Or can I simply stop reporting anything (No more Schedule Cs).
If I need to do a 2024 Schedule C and report no earnings/expenses? When I try to say I converted assets to personal use on 1/1/2024, it is still depreciating the items. (That doesn't seem right). If I say 12/31/2023, it will do zero depreciation, but, I am afraid that would be inconsistent with my 2023 filing.
Another option that came to mind: Amend my 2023 taxes to convert assets to personal use on 12/31/2023. But I tried that and the 2023 depreciation became less, which would make me owe 2023 taxes. that doesn't seem right either. I tried saying 1/1/2024, then depreciation went to zero -- also not right.
What is the proper method that would be easiest to walk away? Thanks!
