How do i record improvements to a rental property made after tenant left in preparation for selling the property? as asset placed in service after tenant left?

[steve1951]

rented from 1/1/20 thru 9/30/20. improvements made oct-nov. sold in december. tt is walking me through adding assets (improvement) as though they'll be depreciated but they won't since we're selling.

[Critter-3]

Just list them as repairs on the schedule e.

[Carl]

This is one of those quirks of the TTX program that it can't quite handle this situation the way it should.

Do not list qualified property improvements as repairs. That's flat out wrong no matter how you look at it.

Enter the property improvements in the Assets/Depreciation section like you're supposed to.

Since the improvements will not be placed in service prior to the sale closing date, make your "in service" date the closing date of the sale, and the business use percentage as small as possible. I think it will take 0.1% but if not, 1% is fine. That way, no depreciation will be taken most likely. If any is taken, it will be such a minuscule amount that it won't change your bottom line on the depreciation recapture.