First, I am making the following assumptions:
1. In the Property Profile section you selected the option for "I converted this property to personal use in 2023".
2) In the assets/depreciation section you worked through each individual asset listed, one at a time, and on each individual asset listed you selected the option for "I stopped using this asset in 2023" and you also selected YES on the "Special Handling Required?" screen.
3) If you claimed any vehicle use for your rentals, you worked through the vehicle expenses section and indicated that you "removed this vehicle for personal use".
Assuming you have done at least the first two, and the third one if it applies to you, you're good to go. However, this is one extremely important thing to note and do.
Once you have completed your tax return, filed it, and *AFTER* it has been accepted by the IRS, there are some documents in your 2023 tax return that you need to print out and keep *FOREVER* (Or at least until you sell the property.)
- Print out a copy of IRS Form 8582-Passive Activity Losses and file it with your existing property ownership records. If this form is not present in your 2023 tax returns, that just means you do not have any suspended/carryover losses. So don't be alarmed if the 8582 is not present. It's fine.
Form 4562. There are two of these for each property you own. They both print in landscape format. One is titled "Depreciation and Amortization Report" and the other is titled "Alternative Minimum Tax Depreciation". Print both and file with your property ownership records.
You will *NEED* these forms sometime in your future when any one or more of three things happens in your life:
1) You convert the property back to a rental or any other type of business use.
2) You sell or otherwise dispose of the property.
3) You die.
