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I did not rent a house any more last year. why the program shows a depreciation amount.

 
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4 Replies
MaryK4
Expert Alumni

I did not rent a house any more last year. why the program shows a depreciation amount.

Check to see if you still have the rental property information- if so you should delete it from the return.

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Carl
Level 15

I did not rent a house any more last year. why the program shows a depreciation amount.

if so you should delete it from the return.

Bad move. Could very easily result in a paper "audit my mail". You don't need that.

If you still own the property in 2019, you need to show it's conversion from rental property to personal use. It would be simplest to show the conversion as having occurred on Jan 1 2019, provided you did not rent it out for one single day in 2019.

As you start working through the rental select the option to indicate that you converted it to personal use, and continue working it through. Enter nothing for rental income or expenses.

You ***MUST*** work through the assets/depreciation section and as your work through each individual asset listed you must select the option for "I stopped using this asset in 2019", On the "Special Handling Required?" screen, select YES. (If you select NO, you will be **FORCED** to entered sales information, and you make no reference to having sold the property. So I assume you still own it.)

For date of conversion/disposition, enter 1/1/2019.

You must do the above for each individual asset listed. Then 2019 will be the last year you report this property on SCH E. (unless you start renting it out again in 2020 of course.)

 

yl981863
Returning Member

I did not rent a house any more last year. why the program shows a depreciation amount.

how do i delete it from the return?

 

Cynthiad66
Expert Alumni

I did not rent a house any more last year. why the program shows a depreciation amount.

You can delete the form 4562 as follows:

 

Sign in to TurboTax and open your return by selecting Continue or Pick up where you left off. In the left menu, select Tax Tools and then Tools. In the pop-up window Tool Center, choose Delete a form. Select Delete next to the form/schedule/worksheet in the list and follow the instructions.  Form 4562 is the depreciation schedule.

 

The rental property should be properly disposed of for tax purposes.  You can use the steps below to remove the property for rental use then the depreciation schedule will not continue to pop up.

 

When you are in the rental activity for 2022, you must select the 'Assets' section, then in each asset you must go to the screen titled 'Tell Us More About This Rental Asset'. 

  1. Once you reach this screen for each asset, you must select 'This item was sold, retired, stolen, destroyed, disposed of, converted to personal use....'
  2. Next enter the date you stopped using the asset for rental purposes. And answer 'Yes' you always used this asset 100% of the time for business. (The percentage of use doesn't change until after conversion from rental to personal use.)
  3. Select 'Yes' for Special Handling due to 'You converted the asset to 100% personal use'. You should have reported that the property is not rented anymore, sold or whatever happened.  See below how to show the property use has changed.

 

 

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