form 4684 is used. part A for the personal portion part B for the business portion
per instructions : If property is used partly in a trade or
business and partly for personal purposes,
such as a personal home with a rental unit,
figure the personal part in Section A and the
business part in Section B.
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so take what you paid and split it 44.66% business and the rest personal. also split the insurance portion this way. if insurance proceeds on the personal portion exceed the personal cost you have taxable income. if a loss it's not deductible.
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do the same for the business portion but for that cost do not reduce it for any depreciation. the rule for business depreciation is that none is allowed on business property put in and taken out of service in the same year. gain takable/loss deductible.
