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hno4
Level 2

How to input partial rental property depreciation/expense while owner occupied

I lived in my property for the whole 2024 year but I rented the rest of rooms (3 out of total 4) for 4 months, I lived  there while the rental happened and I converted to personal use after the rental is done. Now TT only allows me to input the days by rental/personal and I could not input personal as 366 and rental as 120, so I could only put personal as 246 and rental as 120, so the expenses are prorated and cover the full rent income, which's fine.

 

But the depreciation amount is accounted full 4 months without prorated by rooms or square root, it should be 3/4 of the 4 months depreciation, how could I input in the Turbotax in such situation?

 

In rental property, I input 2024/1/1 as start date and 33.33% as percentage of time for business.

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1 Reply
DianeW777
Expert Alumni

How to input partial rental property depreciation/expense while owner occupied

The reason is due to tax law. If you place an asset in service and then remove it from service in the same tax year you are not allowed any depreciation. For 2024, depreciation will not be one of the allowed expenses.

  • Excepted Property:  Even if the requirements explained in the preceding discussions are met, you cannot depreciate the following property.
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