How do I change basis of rental house mid-year after spouse passes away? The program thinks I sold it and I just need to start a new depareciation schedule.

[joanwhowell]

How to step up basis of rental property in Turbo Tax

[AmeliesUncle]

Do you live in a Community Property State?

[Mike9241]

sorry for your loss. for non-community property state the easiest way is to create a new asset for the step up using the date of her death as the acquisition date. for example if 100% of FMV value is $700 while cost is $500. the new asset would be $100. this needs to be split between land and building because land is not depreciable.