I'm using Turbotax Self-Employed (online) this year and I'm entering the depreciation of a rental property. This was previously calculated in a depreciation schedule provided by an accountant in previous tax year. The Turbotax numbers are not matching up with previous depreciation expense taken.
Turbo tax calculates a depreciation expense of $2,821; which is incorrect. This is based on calculated cost basis as follows: purchase price $89,000 - cost of land $36,350 = cost basis $52,650). Other info: Date it was used as a rental business (02/01/2008), and how much was depreciated previously ($5,743).
Using an online depreciation calculator (as well as verifying my previous year's depreciation expense), the depreciation expense should be $1,915. Data entered was cost basis of $52,650, recovery period of 27.5 yrs, starting month of 02/01/2008.
Why are the numbers not matching up?
