Hello,
I understand I need to take care of depreciation recapture due to me renting my main residence for 2 years.
I noticed that TurboTax asks me to enter the depreciation when calculating the cost basis (lowering by the depreciation) but then asks me again to enter in the "depreciation taken after May 6th 1997" section.
Isn't that a duplicate? It appears what I own is affected by both sections. Shouldn't depreciation be reported either as decreased cost basis or in the "depreciation taken after May 6th 1997" section but not in both sections? Otherwise, it seems like I am double taxed on it?
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Q. Isn't that a duplicate?
A. Yes. Do not lower your cost basis by depreciation taken. TT does that automatically, when you enter depreciation taken on the next screen.
Thank you so much 🙏
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