Investors & landlords

The house purchased for rental real estate in 2020 should be entered as a new asset.  Select Assets then add another or add this as your first asset.  Be prepared with the land value.  Enter that amount when indicated, then TurboTax will calculate the depreciation on the building portion only.  

If you are not sure of the cost portion for the land you can use the county tax assessments to determine the land vs building percentage, then use that percentage against the purchase price.

To enter your rental:

1. In TurboTax, search for rentals and select the Jump to link at the top of the search results.
2. Answer Yes to the question Did you have any rental or royalty income and expenses in 2020 for property you own?
3. Follow the on-screen instructions as you proceed through the rental and royalties section.
   • We'll ask you to enter general information about your rental (like description, address, and ownership percentage).
   • Eventually, you'll come to the Rental Summary screen, which is where you enter your rental income and expenses, assets and depreciation, and vehicle expenses.
4. When you enter your rental house as an asset be sure to select Residential Rental Property (see below), the follow the screen prompts to enter all the details.