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When you sell a rental property can you reduce previously reported depreciation in years that the depreciation is dis-allowed becasue of high income?
I sold a rental single family home. In previous years I was not allowed to take loss deductions for the rental since my income was above a level that those deductions would be allowed. When I enter the sales info the Loss I have experienced is reduced by the previously reported (Transferred in by TurboTax) depreciation. Is this correct, as it seems that since the depreciation was disallowed I should not have to include it in the “Previous depreciation”?
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June 7, 2019
3:44 PM