We took a rental out of service on 1/1/18. How do I document this on taxes?

jyperu · ‎June 4, 2019

AnnetteB · ‎June 4, 2019

As you go through the Rental section of your tax return, edit the property that was carried forward from your previous year’s return.

On the screen titled Do Any of These Situations Apply to the Property, there will be a check box under Converted labeled “I converted this property from rental to personal use”. Check this box.

On the next screen there will be an option to show that the property was not rented all year, and another check box at the bottom stating it was not rented at all.

TurboTax will then give you the guidance to delete the property as a rental from your return and to keep a copy of your depreciation schedule because it will be needed when you ultimately sell the property or convert it back to a rental.

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AnnetteB · ‎June 4, 2019

As you go through the Rental section of your tax return, edit the property that was carried forward from your previous year’s return.

On the screen titled Do Any of These Situations Apply to the Property, there will be a check box under Converted labeled “I converted this property from rental to personal use”. Check this box.

On the next screen there will be an option to show that the property was not rented all year, and another check box at the bottom stating it was not rented at all.

TurboTax will then give you the guidance to delete the property as a rental from your return and to keep a copy of your depreciation schedule because it will be needed when you ultimately sell the property or convert it back to a rental.