This is the first year I rented the property, placing it into service in September, 2020. I'm calculating as follows:
182,905 (cost basis)/27.5 (years)=6,651.09
6,651.09 (2020 depreciation)/12(months)=554.26
554.26(1 mo depreciation)*3.5(months)=1,939.90
Your math is correct, so there must be something else that we are missing.
Is the $182,905 for the BUILDING? Or is that the total price (building and land)? The portion for the land is not depreciated.
Is the property in the United States, or some other unusual reason why 27.5 years is not correct?
Yes, $182,905 is for the building (no land included) and it's in the US.
Are you saying it is 100% business use?
When it asks for the number of rental days and the number of personal days, are you entering any personal days?
Double check that you entered the "placed in service" date correctly ... it doesn't ask for "prior depreciation" does it?
Make sure that you included it in the Rental Real Estate portion and not in another category. Also, say that it was rented all year, even though you started in September.