Depreciation on Rental Property Not Calculating

[jrsr1114]

I've owned a rental property for 3 years where I rent it out for about half the year and use it for personal use about 10 -15 days out of the year.  I rented the unit for 180 days in '21 and '22, and 121 days in '23.  Does that make any difference as to why depreciation is not calculating? 

Turbo Tax calculated the depreciation on this property in 2021 and 2022 Returns, Schedule E, yet it is not showing up in my 2023 return, Sched E.  All information has properly carried over from '22 to '23.  I had $8,500 in rental income and $8,500 in expenses before depreciation in 2023.  I've answered all questions the same in '23 as in '21 and '22.    

[AnnetteB6 · Accepted solution]

In the case where a rental property is used as a home and a rental property in the same year, your rental expenses may be limited.  You stated that before depreciation, your income and expenses were the same in 2023.  That being the case, the depreciation amount is being affected by the expense limitation.  The expense that cannot be claimed is carried over to the following year.  

See Worksheet 5.1 in Publication 527 for more information.