cost base for rental property is missing in turbo tax, depreciation is wrong, how to fixed it?

[cindychenhe74]

When I working on my 2021 tax, I found the purchase cost for my rental property which is depreciate 27.5 years is missing in asset summary. So the depreciation is wrong. How do I fixed the data in system? Also, I find the depreciation are wrong for 5 years because of missing data. How can I catch up the depreciation for cost base?

[ThomasM125 · Accepted solution]

You need to add the property as an asset on your current year tax return. TurboTax will calculate the correct previous and current year depreciation using the date you put the property into service that you will enter.

For the previous years missed depreciation, you could go back and amend only the last three years of tax returns to correct it. Or you can use a change in accounting method and enter a one time expense on this year's tax return. Here is a link that explains how to make the adjustment by using a change in accounting method:

Change in accounting method