I tried to Amend and here are the results. The newly build attached unit is 24% of total living space. Entered the $7,200 total rent received, Total Mortgage Interest was $24K, Property Tax was $7,300, Insurance $600. There was a refund of $5K Fed and $2K State. After I reviewed, went back to Schedule A and adjust the Original Mortgage interest to 76% of total received from my House lender and also adjusted the Property Tax on Schedule A to show only 76%. Both refunds were cut down to about half. My adjusted gross income is over $150K, why do I have refund? I still feel something is wrong, perhaps the Cost basis or Depreciation worksheet? Entered $85K on the cost to build the unit, Land Value of the unit based on Property Tax statement is $41K (which is 42% of total land value of the house). I have very few numbers to enter but not sure if I've entered it in the right places.
