ColeenD3
Expert Alumni

Investors & landlords

First, you can't take any expense for a rental, including depreciation, until it is placed in service and available to rent. You need to amend 2019 and remove it.

 

Since it was not really ever a rental property, you do not have to convert. Once the nonresidential rental is placed in service, you can begin to take expenses. Your basis will be cost plus improvements.