@landlord14 wrote:
stated I lived in it more the 24 months. Any gains were deferred. No problems there.
Actually, that IS a problem. There SHOULD be a gain because you used it as your Principal Residence AFTER it was rented. You need to go back and re-read the screens carefully.
@landlord14 wrote:
My question is how do I report the depreciation for recapture from the home when it was a rental (the one purchased 2005) . I think I do that via "sale of business property" but not sure?
You need to only enter the sale ONCE. If you do it in the "Sale of Business Property" section, it won't walk you through the Principal Residence Exclusion.
When you enter it in the "Sale of Home" section, is there a question about using the home for a rental or Home Office? I think it should be there. If so, that should let you enter the previous depreciation there. If not, I don't think the step-by-step interview is set up for that situation.
