Hello turbotax community,
I own a condo and a private parking space inside a covered garage overseas. Both the condo and the parking space were rented to the same tenant; it is listed in the lease and when I receive the rental payment, I receive one single payment for both properties. The condo and the garage space are not in the same building but a few blocks away from each other, though. The garage is a private place with 7 parking spaces and only accessible to 7 owners. The garage is part of a residential building right over it.
I am using Schedule E to report expenses and depreciation for the Condo (30 years). I assume I can also use Schedule E to report the expenses for the parking space (HOA), but can I also use depreciation? (I have a deed, listing the price of the land and the structure, its size and its number. Again, this is just my space and no one else).
If so, should I choose Commercial as the type of property and depreciate it over 40 years? Then, I would have two separate Schedule E’s (one for the condo (residential 30 years) and another one for the garage space (commercial 40 years). Or should I just have one Schedule E for both the condo and the garage space and depreciate both over 30 years? (include the garage space as an asset within the Schedule E for the Condo).
Just to emphasize again that the garage space is fully covered (not a parking lot), there are 7 parking spaces assigned to each owner and there is a residential building right over it.
Thank you in advance for your responses.
