I did a manual calculation for my rental property, and im coming up with a completely different number than turbo tax. Can any verify or provide insight on why this may be happening? Details are below
Asset: Rental Property
Acquired: 2011 (for personal use)
- Switched to100% business use on 6/15/16
Cost: 149000
Land Cost: 37697
Cost Basis (Cost - Land Cost): 111303
Depreciation Methods:
- Years to fully depreciate: 27.5
- MACRS Convention: MM (Mid Month)
- Depreciation Method: SL
Since its over 27.5 years, 1/27.5 = 3.636% per year.
For 2021, I use:
$111,303 X 3.636% = $4047
Somehow, turbo tax shows $4848
(No special 179 deductions)
Any ideas? Appreciate your response in advance!
