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themurgos
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Selling my rental property.How can I find out how much has been depreciated over the last 8 years?

 
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2 Replies

Selling my rental property.How can I find out how much has been depreciated over the last 8 years?

If you used TurboTax there will be a Depreciation and Amortization report which will show the total deprecation on the property for the year of the report.  Assuming that you entered the property as an Asset in the TurboTax program when the property was first placed in service.

 

To access your current or prior year online tax returns sign onto the TurboTax website with the userID you used to create the account - https://myturbotax.intuit.com/

Scroll down to the bottom of the screen and on the section Your tax returns & documents click on Show.  Click on the Year and Click on Download/print return (PDF)

 

If you used the desktop CD/Download editions installed on your computer, the only copy of your tax data file and any PDF's will be on the computer where the return was created.  TurboTax does not store online any returns completed using the desktop editions.

Carl
Level 15

Selling my rental property.How can I find out how much has been depreciated over the last 8 years?

If you have been reporting your rental income/expenses on SCH E with the TurboTax program, then "you" really don't need to do anything special to get that information. If you report the sale in the Rental and Royalty Income (SCH E) section of the program, then the program will take care of all that stuff for you in the background.

Otherwise, you have to do a printout of everything, and not just the "forms for your records" or "forms for filing". That can be quite a number of pages to. When you go to print it, it first opens it as a PDF document. So just elect to save the PDF do your computer.

Then open the PDF document and look for the IRS Form 4562 that prints in landscape format. There will be two of them that print in landscape format. One is titled "Depreciation and Amortization Report" and the other is titled "Alternative Minimum Tax Depreciation Report". You want the first one.

Now, for all assets listed add together the amounts in the "prior years depr" column and the "current year depr" colomn. That is the total amount of depreciation you have taken on the property.

Reporting the Sale of Rental Property

If you qualify for the "lived in 2 of last 5 years" capital gains exclusion, then when prompted you WILL indicate that this sale DOES INCLUDE the sale of your main home. For AD MIL personnel who don't qualify because of PCS orders, select this option anyway, because you "MIGHT" qualify for at last a partial exclusion.

Start working through Rental & Royalty Income (SCH E) "AS IF" you did not sell the property. One of the screens near the start will ahve a selection on it for "I sold or otherwise disposed of this property in  2017". Select it. After you select the "I sold or otherwise disposed of this property in 2017" you continue working it through "as if" you still own it. When you come to the summary screen you will enter all of your rental income and expenses, even it it's zero. Then you MUST work through the "Sale of Assets/Depreciation" section. You must work through each individual asset one at a time to report its disposition (in your case, all your rental assets were sold).

Understand that if more than the property itself is listed in your assets list, then you need to allocate your sales price across all of your assets.  You will only allocate the structure sales price; you will NOT allocate the land sales price, since the land is not a depreciable asset.  Then if you sold this rental at a gain, you must show a gain on all assets, even if that gain is $1. Likewise if you sold at a loss then you must show a loss on all assets, even if that loss is $1

Basically when working through an asset you select the option for "I stopped using this asset in 2017" and go from there. Note that you MUST do this for EACH AND EVERY asset listed.

When you finish working through everything listed in the assets section, if you ever at any time you owned this rental you claimed vehicle expenses, then you must also work through the vehicle section and show the disposition of the vehicle. Most likely, your vehicle disposition will be "removed for personal use", as I seriously doubt you sold your vehicle as a part of this rental sale.

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