We had a beach property would only be viable as a rental during the summer months. So maximum availability was about 8-9 weeks a year. We would use the property one week in June and come down some weekends in spring. I've always put in the exact days for both ie. say 56 days rented and 18 days personal use. Based on that, TurboTax would allocate the expenses and taxes appropriately. We sold this year and I noticed that TurboTax only created form 8582 (passive losses) for 2018 and 2019. We had a loss every year. What would have prevented the form being created since 2013 when we bought and started renting the property? Is it based on the number of days we used those years vs rented or a maximum W2 income threshold? I don't calculate days rented (or rentable) based on 365 days because it would be unrealistic and is truly a seasonal property that rents by the week in summer.
