more details and questions...
- when i "took it out of service" on 1/1/2020, i indicated in TT that I converted this property from a rental to personal use in 2020 and thus in 2020 TT I input for each depreciable asset that 1/1/2020 was the date of sale or disposition (as guided by TT instructions). i did NOT live in it at any time in 2020. was that a mistake? i was told in TT forum that i could not convert it to personal use if i did not live in it for at least one day. is this true? however, i was also told that i could not claim it as a rental if I did not attempt to rent it out during that time. is that true? i feel as though i am in a catch 22 situation.
- fast forward to today; i subsequently sold the property in March 2021 and am now in a quandary as to how to report the sale, i.e. as a business property or as a rental? do i need to amend my 2020 return? i don't know which way is correct; i don't know my options and i don't know what is best financially (tax-wise).
