Do I enter the total utility expenses for the whole year even if I converted my rental space for personal use during the year? I am using TurboTax Premier.

[TinkerBell01]

I converted my rental space to personal use on July 2nd 2017 (which is approx. 6 mths. of renting for 2017). Will TurboTax Premier prorate for me and do the computation or do I need to divide the expenses in half myself? Additionally, will it figure out the property taxes and home owners insurance or do I need to divide that also?

Also, would a plumbing repair (septic tank repair) done in August be deductible? I am assuming it would not since it was done AFTER I converted the space to personal use. Just asking because the tenants could have contributed to the problem.

I used an exterminator only for the period while I was renting so I am guessing I can deduct all of those expenses - am I correct?

[Anita01 · Accepted solution]

In the final year, you are safer doing the division of expenses yourself.  Make sure you say the property was used 100% for business, meaning there was no personal use until after the conversion date. The plumbing expense is not deductible but the exterminator would be.  Property taxes you would also allocate yourself, entering the correct amount for the personal use period under Property tax in Deductions and credits.  Insurance is not deductible for personal use, so you enter that share only under rental expenses.