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Get your taxes done using TurboTax
TT should determine a better solution to partial asset distributions using your software. The solution AmyC suggests has the problem that the depreciation correction is wrong in tax year of the disposition. By not changing the dates on the original house purchase asset entry form but only lowering the old basis to remove the basis of the replaced roof, it will incorrectly calculate the depreciation to be 12 months at the new lower basis rather than the correct answer which is part of the year at the old basis and the remainder of the year (after the date of the partial disposition) at the new lowered basis.
May 7, 2021
12:11 PM