AnnetteB6
Expert Alumni

Investors & landlords

First, be sure that you indicated on the 'Do Any of these Situations Apply to this Property?' page that you converted the property from rental to personal use during 2019.  

 

Then, when you enter the rental days, you will not enter any personal use days.  The personal use came after the property was no longer a rental property.  

 

The IRS method and Tax Court method of allocating expenses does not apply in this situation because you did not use the rental property for personal use.  When you moved in to the house it was no longer a rental property.  You will simply prorate the expenses based on the months of rental use and the months of personal use before you enter them into the rental expense section of your return.  The personal use expenses are either deducted on Schedule A (taxes or mortgage interest for example), or not deducted at all (utilities or insurance for example).

 

 

@Anonymous

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