pk
Level 15
Level 15

Investors & landlords

@Danny782 , there may be other ways to achieve this  but my preferred way would be the following:

1. The donor completes  his return claiming the transfer / sale of the property  as of 04/01/2022.   He sells it at his adjusted basis  and thus there is no gain / loss for him.  He is also then able to give you his accumulated depreciation, his adjusted cost basis etc.

2. Then you prepare your return  with anew property acquired  by "gift".  This will allow TurboTax to ask for Donor's adjusted cost basis, Donor's accumulated depreciation as of 04/01/2022.  Now it should allow you to continue the depreciation for the rest of the year and into future without any hastle.

This allows for clean break but continues the  depreciation schedule and  adjusted cost basis of the donor.

 

Hope this helps.  However, if you see things  are not working as you expect, please consider writing back but give me some figures so I can duplicate the return ---- no Personally Identifiable Information  please .

 

pk