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Why does TurboTax keep switching my rental property to royalty property? I did not sell it. It was rented 365 days in 2023.

I receive a message re: Schedule E, disposition worksheet, asking for: Line 4 - date sold.  (never sold);  Line 2 - Property Code
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1 Reply
PatriciaV
Expert Alumni

Why does TurboTax keep switching my rental property to royalty property? I did not sell it. It was rented 365 days in 2023.

You may need to review your entries for your Rental Property. 

  1. Go to Rental Properties, and first confirm that "Rental" appears in the Type column. 
    If it says "Royalty," you cannot change this in TurboTax Online, which means you need to delete (trashcan icon) the property and re-enter everything.
  2. Click Edit beside the property you need to work on. 
  3. Click Edit beside "Rental Property Info" under the main header.
  4. Under Situations, be sure you did NOT check the box for "I sold or disposed of this property."

If you're using TurboTax for Desktop, edit/update the Property Profile. You can change the property type from royalty to rental on page with the property address. The checkbox for "sold this property" appears on the page "Do any of these situations apply...?"

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