Suspended losses from one converted rental property

[jlp]

I converted one of my two rental properties to personal use in 2019. Both properties had suspended losses. After completing and filing my 2020 returns in Turbotax (in April of 2021), I realized that the losses for the converted property had disappeared from the worksheets on 2020 form 8582. Is this normal, or did I crew something up when preparing either the 2019 or 2020 returns? If I did something wrong, how do I fix it now? Do I need to amend my 2020 returns to show the losses from the converted property?

[Critter-3]

100% normal ... the passive loss carryforward is not being reported any longer since you have no passive income properties.  What you MUST do is keep a copy of the last 8582 forms from the year of conversion to use later when you either sell the homes or convert them back to rentals. 

[jlp]

Thanks for the quick reply. However, I do still have one rental property. I had two before the conversion. Should the losses from the converted rental still show on the worksheets to use against the still active rental  property. If so, how do I fix it, and do I need to amend the 2020 return? Thanks again.

[Critter-3]

Nope ... the passive losses where put on "vacation" when the rental behind them was also removed. 

[Mike9241]

the PAL carryover is by property (see the worksheets for form 8582). so the one you have still have should report its PAL c/o while for the one you converted you'll have to keep track outside of TT of its PAL c/o. don't forget to keep track of the depreciation taken on it.  even if it's your primary residence when you sell and meet the rules for home sale exclusion, the gain to the extent of depreciation taken is subject to recapture

[jlp]

If I end up selling the active rental property, can I use the losses from both properties to offset the gains on the sale? 

[Critter-3]

Still no ... those converted are no longer in play for a current deduction ... they must wait until you sell the home. 

[jlp]

Got it. Thanks so much for the replies. I ran out of questions for now.