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1. None of the above / option A with extras - You rented it out for 90 days and have income to report and you converted it to personal use to stop the depreciation on the conversion date. You will enter the 90days of rental. Personal use is zero for the time it was a rental. You will enter the conversion date. 2. When you decide to rent again,  it will be a new asset but you pick up with the adjusted basis. The cost plus improvements minus depreciation allowed or allowable.

I went back into the software to see if I could figure out what I was doing wrong in entering Distributions. I found that the distributions didn't stay after I thought I had entered them on the left column under the Capital column. I finally found how to work the distributions for each partner and the amounts entered did automatically transfer to Schedule K-1 Line 19 Code A. So I have the correct amended K-1 for each partner, which hopefully will help me next year. 

No. There should not be a penalty since you removed the excess contribution and any earnings/losses prior to the tax filing deadline.   Here is how to help TurboTax stop calculating the incorrect penalty amount.    Your Form 1099-R may only show a code J or P in Box 7, so you will need to add the additional code of P or J for Box 7 (J & P both), to indicate that this is a prior year correction by following these steps:    Go to Income on the left panel within your TurboTax account Click on the Review to the right of IRA, 401(k), Pension Plan Withdrawals (1099-R) Click on the pencil to the right of your 1099-R to review/edit it Continue through the questions until you reach, "Enter your 1099-R details from _" Enter the information from the original Form 1099-R that you received For Box 1, enter the original contribution + earnings amount For Box 2a, enter only the earnings amount (which is zero, since you had a loss) Ensure the details from your Form 1099-R are correct, including Distribution Codes J & P being used in Box 7, then Continue   Next, you will need to go to Deductions & credits to clear out the "balance" in the account so that TurboTax knows it is no longer in the account:   Go to Deductions & credits on the left panel within TurboTax Scroll down to Retirement and Investments and click the down arrow Select Start/Revisit to the right of Traditional and Roth IRA Contributions Select Roth IRA, then Continue Enter your 2025 (not 2024 yet) contribution amount, Continue Select "No" to, "Did you recharacterize?", Continue Select "Yes" to, "Did you open any Roth IRAs in 2024...?", Continue Select "Yes, or No" whether you want to track your Roth IRA basis, Continue Enter the amount of your 2024 excess contribution, Continue In the "You had a prior year excess contribution of $, how much...toward your 2025...?", enter zero   By following these steps, Form 5329 should show zero for the additional tax penalty on line 25.

BTW - Not sure if this makes a difference. I have two children as college going dependents.  One qualifies for the $1000 exemption (with age <22) and the other one is >24 (so per NJ 1040 rules, she does not qualify).   Like I mentioned, TT for NJ state is counting both children for college dependency per the "NJ Bottom Line" summary.   I cannot preview the tax return unless I pay.   

If you are unable to move forward in your TurboTax program, you can try the steps below.  Go out of your program, close your browser and go back in. Clear your cache and cookies. Click here for How to clear your cache. Click here for How do I delete cookies? Try a different Web browser, such as Chrome or Firefox. If you are using a VPN, disable it. Make sure your internet connection is strong and stable Try using incognito mode If you are using TurboTax Desktop, you can manually check for updates for  your TurboTax program by clicking on "Online" in the black bar near the top of your screen and selecting "Check for Updates."  You can also contact TurboTax Customer Service using this link: Turbo Tax Customer Service.    Please return to Community if you have any additional information or questions and we would be happy to help

Up to 85% of Social Security becomes taxable when all your other income plus 1/2 your social security, reaches: Married Filing Jointly: $32,000 Single or head of household: $25,000 Married Filing Separately: 0   To see the Social Security Benefits Calculation Worksheet  in Turbo Tax Online version you would have to save your return with all the worksheets to your computer.   Or if you are using the Desktop CD/Download Software you can switch to Forms Mode (click Forms in the upper right) and click on SS in the list on the left side.   Or use the IRS worksheet in the 1040 instructions page 32 https://www.irs.gov/pub/irs-pdf/i1040gi.pdf   Before filing,  You can preview the 1040 or print the whole return https://ttlc.intuit.com/community/accessing/help/how-do-i-preview-my-turbotax-online-return-before-filing/00/26160

You can change it by following the steps below. I had to leave the yes in there on the screen that said Application for Refund, and go to the next screen and make the Apply How Much? zero and then go back and say No.   If you are using TurboTax Desktop: Click on Federal Tax Tab (Personal Income) and Click on Other Tax Situations Tab Scroll down to Additional Tax Payments and look for  Apply Refund to next year Click Start or Update to the right of Apply Refund to Next Year Your screen will say Application for refund Leave the Yes there to get the next screen Make sure the next screen does not have a number in it The screen says Apply How Much? Make sure you have edited that to zero then go back and say no Your screen should show your revised refund If you are using TurboTax Online: Click on Federal in your left panel of your TurboTax  screen Click on Other Tax Situations then Other Tax Situations Summary Scroll down to Additional Tax payments Click Start or Revisit next to Apply Refund to next year Leave the Yes there to get the next screen Make sure the next screen does not have a number in it. The screen says Apply How Much? Make sure you have edited that to zero then go back and say no Your screen should show your revised refund Please return to Community if you have any additional information or questions and we would be happy to help.  

Either can work, but "Various" is often the most reliable way to avoid issues with complex 1099-DIV allocations in tax software. Sometimes using RIC has its limitations because the software might not properly link it to the passive category for Form 1116, which may have happened to you.  As a result , a smaller Foreign Tax Credit will be calculated. Using "various" will always put this into a Passive Category Income 'bucket" and is more reliable.   Usually, reporting this into one 1099 DIV will suffice but splitting this into three Div entries will work, if done properly. 

Thank you for your response. I do feel like this is a flaw in the TurboTax software because nowhere did it say that. If I hadn't asked, I wouldn't even know. Not your fault, just putting that out there for the product/IT teams to update these things.

If you're using TurboTax Desktop on the same computer as last year, look in Documents > TurboTax for your prior year tax data files.  You can also search your computer for .tax2024 files.   @shenry32162