Thank you Critter-3 for providing explanations for each of the 4 options. I tried option 3, but TurboTax does not take me to a screen where I can enter my own amount. Instead, it takes me back to the list of Property Assets, leaving me unsure as to how I can manually enter the $2,434. Therefore, I went with option 2, in which TurboTax transferred $7,386 to line 19 "Other" in Sch. E rather than line 18 "Depreciation expense or depletion" as you mentioned. I was then able to edit the $7,386 figure to $2,434. Note that the asset type I originally chose in 2019 when setting up the asset was "L - Amortizable intangibles". I also answered "Yes" to "Special Handling Required?" as I believe refinancing fees qualify as "This is an intangible asset not considered section 1245 property." I believe this is why TurboTax populated the unamortized expense in line 19 rather than line 18. Are you able to confirm that this handling is correct? Also, the refi fees do not show up on Form 4797, which I think is correct because I believe refi fees are not subject to depreciation recapture. Can you confirm that this is correct?
