pk
Level 15
Level 15

Investors & landlords

@chammer8o , without knowing more about how your return was filed  --- I see two issues you need to look into -->

(a) because your rental was in operation since 2011, if you enter that date as your start date , for US purposes the  rental start would be 2011 and thus there will be accumulated depreciation for the  the years 2100 through 2017.  So you need to see what your preparer did  last year --- did you use  xx/xx /2018 as your start of rental ( that is from the date you entered the US tax system )  or did you recognize accumulated depreciation for the past years. 

(b)  Till 2017 the foreign  based rental ( residential )  property  used to be depreciated using MACRS with a life of 39.5 years   From 2018  it allowed ADS with 27.5 years -- the earlier ones were grandfathered  and allowed to continue ( safe harbor )  What did you use last year.

 

When you ADS, you use  Straight Line depreciation -- so TurboTax is waiting for you to choose  the method --- you need to select Straight Line and not  other methods.