I own a duplex rental building. In 2020...
Apt. 1 was rented 210 days, and was otherwise under renovation.
Apt. 2 was rented 195 days, but I did not attempt to find a new tenant when it was vacant during the pandemic.
TurboTax does not allow me to identify the different circumstances of each unit. How do I enter "days rented"?
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If it is two separate units, it should be reported as two different rentals. From what you described, it seems like you are reporting both units as one property.
You should separate the units and reports as two rentals. This will take a little work, but you can divide the basis and separate expenses for each unit.
Thank you for your note, much appreciated. However, I'm frustrated with Turbotax, which guides me to identify my property as multi-family, defined as "Multi-family properties house more than one family, each family in its own separate unit." Their list of examples specifically includes duplexes! Unfortunately TT then does not actually provide a framework for entering data reflecting the reality of a multi-family property, such as differing rental days, or separate expenses per unit. Now I understand that I should enter each apartment as a single-family unit, and prorate common property expenses (such as water/sewer) between them. How can Turbotax be so clueless about this?!
Add the rent for both units and divided by 365. Received the "Fair" rent for a day if both units are rented for whole year. Then added the rent actually received for the year. Divided by the Fair rent for the day and entered that as the number of days rented.
Bingo! You explained it perfectly.
If the property was classified as a rental for the entire year *and* you did not live in it for one single day as your primary residence, 2nd home, vacation rental or any other type of "personal pleasure" use, it changes nothing to report it as rented "the whole year". Vacant periods between renters changes nothing. Personal use days "does" change things.
As for the fact you didn't try to rent it during the pandemic, it was still classified as a rental. The pandemic period does not (should not) count against you. I assume you did get it rented again as some point, and probably have a renter in it right now.
Thanks Carl and others. This has been a helpful thread and I think I'm all set!
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