Once you convert it to personal use, you're done with the property in the SCH E section permanently and forever. Never again will you have to enter anything concerning this property in the SCH E section. Never.
You will report the sale on your 2022 tax return next year, in the "Sale of Business Property" section. You'll be asked for four basic figures.
- Your cost basis of the property sold. This amount includes what you paid for the property and all of it's assets, plus the cost of any property improvements you paid for while you owned it.
- The total amount of depreciation taken on the property during the time you owned it.
- Your sales expenses
- Your selling price.
From that, the program will determine your taxable gain or loss.
