Hello TurboTax Community,
I am having issue with my rental property depreciation basis and would appreciate some help:
The property was converted to rental from primary home on 10/01/2024, so I put 91 days for rental and 275 days for personal use in the basic information;
I purchased this property on 6/28/2019 in Oregon, and lived there for 5 years before renting it out if that matters.
The cost basis from the Assets(depreciation) session was $360,000 (land value $0);
So for the 27.5 year depreciation, I am expecting to see the number for 2024 to be $360,000 /27.5/12*2.5 = $2727.27 for the 2.5 months of rental (since Mid-Month convention, here use 2.5 months instead of 3 months).
However, on form 4562 line 19h column c, the basis of depreciation was listed as $89,496, and the depreciation for the rental 2024 was $678, which were far off and about 1/4 of what those numbers expected to be. Am I misunderstanding the property depreciation?
It looked like TurboTax calculated the rental to personal usage ratio twice here. I searched some previous posts and people pointed out the "personal use after renting it out days" should be 0. But the forms/entries this year looked different. I also tried to modify the basic information session by keeping the rental day 91 only and put 0 for personal use, then it messed up the property tax and mortgage interest on Schedule A as it stopped put the personal proportion there anymore. Please help!
Many thanks!
