Thank you so much! Glad to know it can go either way. I have a couple clarifying questions, assuming that I take the HO deduction and there is no need to “retire” it from use (this makes sense as we will be using it in 2022 again):
In the business description, I know I would continue to mark the HO as used for 7 months in 2021. But how about in the HO Asset section? There is a box stating “I stopped using my HO during 2021…because I sold my home…or no longer use the office for this business” along with a potential date in which I stopped using it. If I am not retiring the HO from use, I am assuming this box should be left unchecked. I’m testing this in TurboTax:
If I state that we stopped using the HO, I am asked for a date in which its use was stopped. Then the depreciation is lower because it corresponds to 7 months. If instead I just don’t mark the box (so I don’t retire/sell my HO), the depreciation is the same as it is every year. Does the depreciation need to correspond to the months in which the office was used?
Last–Would it then still work to report the same property as a rental between Aug-Dec?
Thanks so much in advance!
