I'm trying to describe my residential rental property in turbotax and it only allows for nonresidential real estate, retail, restaurant, or leasehold improvement. None of these apply. I input rent, interest, management fees, and tried to enter this year's depreciation amount from my manager's summary. The turbotax is somehow coming up a different depreciation amount. The list indicates it is using a 15 year depreciation life, but my manager's summary lists 27.5 years for the building and 15 years for improvements.
Am I using the wrong product?
Should I just go with the depreciation amount the turbotax is indicating? ($4368 vs. manager's amount of $1486)
I also don't understand what MACRS convention is.
Not sure why you are not able to reflect residential real estate, but the correct life is 27.5; so don't use the current default. Try and go back through the interview process to see if something was either missed or accidentally answered incorrectly.
MACRS conventions are terminology for when depreciation starts; there is half year convention and mid-quarter convention for personal property and then mid-month convention for real property.
your rental summary
Property Profile
A.rental income
B.expenses
C.assets <---------<<<<< here click update
D. Vehicle Expenses
At the property asset summary screen for your property; click the edit..Answer question to set up properly in the tax program
X rental real estate property
X residential rental real estate
you now have a 27.5 year property