I have a personal property which i converted to a rental property.
From January 1 - September 30 the property was used for my own personal use. 9 months.
From October 1st it was available for rent. 3 months
It was rented on December 1st.
When working on the rental income section in TurboTax, I entered the total interest and property tax paid. I also told TurboTax the number of days the property was available for rent.
When I got the the mortgage deductions section, I again entered the mortgage interest and property tax paid.
When reviewing Schedule E (rental property income) and Schedule A (itemized deductions) I can see mortgage interest and property taxes are being double counted.
I adjusted the rental deductions as:
Mortgage interest deducted from rental income = 3/12 * Total mortgage interest paid
Property tax deducted from rental income = 3/12 * Total Property tax paid.
I adjusted itemized deductions as follows:
Itemized mortgage interest deducted = 9/12 * Total mortgage interest paid
Itemized Property tax deducted = 9/12 * Total Property tax paid.
Just want to verify that this is correct.
Thanks!!!
