@DianeW777 I was wondering if you could help me since I have similar questions to TigerMO.
I sold one rental property (house A in IL on Mar 1, 2020 ) and purchased another one (House B in VA on Mar 8, 2020) through a 1031 exchange, and did not receive any boot.
I am using TurboTax's premier desktop version.
1) I know there are 2 depreciation options and would like to use the option that would allow me to depreciate more of the cost basis each year. I understand this means I need to continue to depreciate the replacement property according to two separate depreciation schedules. I was able to get Turbotax to generate the 8824 but Turbotax also automatically calculated the depreciation for House A for the whole year. I thought depreciation for House A needs to be from Jan 1-Mar 1 and then Mar 8-Dec 31? Is that a correct understanding?
2) If the above is correct, i.e., House A is only supposed to depreciate from Jan1-Mar1 and then Mar 8-Dec 31, how do I go about doing so? I tried calling Turbotax but they said this topic was out of scope for them to support.
3) If (1) is the correct approach, does it mean I need to file IL taxes annually going forward to claim the depreciation for House A?
4) If I did not receive any boot, and reported a loss, do I still need to file IL taxes?
Thanking you in advance for any help.
