When selling a home, you need to determine the amount of depreciation taken or allowed for your home office over the years. This amount must be recaptured. There are two methods to use when deducting Business Use of Home for a home office. You will need to determine which you used so you can find the numbers you need.
If you don't know off the top of your head which method you used, you can check by reviewing your Schedule C forms. The line numbers may have changed over the years, but you will be looking for Expenses for Business Use of Your Home (line 30 in 2021). This line will tell you if you took the simplified method or regular method.
If you took the simplified method in any year, then that year is easy--no depreciation was taken for the home office.
However, if you find that you used the regular method, the next thing to do is look for Form 8829 (Expenses for Business Use of Your Home) for each year you had the home office. The line numbers may have changed over the years, but you will be looking for Depreciation allowable (line 42 in 2021). Once you get that number for each year, add them up, and that will be the amount of depreciation deductions you took.
You might find a Depreciation and Amortization Report as part of your 2021 return worksheets if you have used the home office for multiple years. This might have a cumulative number of all depreciation taken over the years. TurboTax has not always offered this report with all versions, so you may or may not have this report.
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