- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Investors & landlords
The start date of the business ***MUST*** be no later than the first day the property was placed in-service. That is the absolute only way possible to transfer the prior year's depreciation already taken, and do it "CORRECTLY". By your method, the depreciation has started all over from the beginning for the next 27.5 years and that's just flat out wrong since the property was not sold or disposed of by the original owner.
Remember, your Partnership/Multi-member LLC is *still* a disregarded entity for tax purposes.
So if asked in the program, the *business* started on the day the property was place in service, or earlier. But the "partnership" started on the date you established for that.
That is how you property transfer everything from your personal 1040 SCH E to the 1065 return SCH E.
On the 1065, remember you have to *add* *together* the prior year's depr *AND* the current year's depr from your *personal* return to get the correct total of prior depreciation already taken, for the 1065 return.