Why don't all of the expenses that I entered for one of my rental properties show up on my final return?

[marchris3]

Expenses for Mortgage Interest, Cleaning/maintenance, Insurance premiums and Depreciation do not show up in my final return even though I enter them in the form for this rental property.  This is the 5th rental property and was used for personal use about 60 days of 2020.

[Carl]

Was this specific property placed "in service" in 2020? Maybe it was the opposite and you converted the property to personal use on 2020? If so then which, and on what date? Then what are your dates of personal use?

[Critter-3]

Was this  vacation rental where you used it for part of the year ?    Or a personal residence that was converted to a rental or visa versa? 

[marchris3]

I converted from personal use to rental on Feb 1, 2020, so was 59 days personal use, 307 days rental.  The expenses of Real estate taxes and Mortgage interest show up in the return, but the others that I entered and the depreciation that was calculated by TurboTax are not on the return.  I do have 4 other properties and all had expenses that resulted in losses, so am wondering since this is the last rental that I entered expenses that I have exceeded the allowable limit??  I thought any extra expenses would be carried over to the next years, so everything could be deducted with no limit.

[marchris3]

I figured it out.  I had put 59 in personal use days, where I should have put 0, because these are personal use days after the property was put into service.  That was not clear to me.  I put 0, and now all the expenses in the proper percentage show up.

[Critter-3]

BINGO ... reading the screens carefully reap rewards ...

[M-MTax]

???? Personal use days AFTER the property is placed in service COUNT as personal use days. If you used the property for personal use......like a vacation home......after you started renting it to others those days count as personal use days. What's happening is some of your expenses are abating because of that personal use. 

[Critter-3]

Once converted one way or the other,  if you did not live in the property before or after the conversion those days don't count as personal use.  My screenshot only showed if you converted to a rental ... but if it was converted to personal the screen would show the same warning in reverse. 

Now if you rent it for some of the year and use it for some part like a vacation property then the personal use days do restrict the deductions.  

Read the IRS Pub 527 to be educated about rentals. 

[Carl]

I converted from personal use to rental on Feb 1, 2020, so was 59 days personal use

Ummmmm.... no. It was not a rental for the first 32 days of the year. Perhaps you meant to say you converted it on Feb 29th? That would be 59 days then.

Either way, if you did not use the property for any type of personal use after the date of conversion, then you select the option to indicate you rented it "the whole year". The program will figure depreciation from the in service date then. Additionally, you only enter rental expenses incurred after you converted it to a rental.

The program will still correctly figure the split between SCH E and SCH A for the mortgage interest and property taxes.

But you'll have to check the property insurance, as you may (or may not) have to pro-rate that, claiming 1/12 of the insurance payment for each month the property was in service, on the SCH E. The remaining property insurance isn't deductible at all on the federal return.

[marchris3]

Yes ... Feb 1 conversion = 31 days personal, and the rest as rental ... a miscalculation on my part. 

[Critter-3]

There are  ZERO personal days of use   if you never used the property for personal use at all once the conversion happened ... READ the screen instructions carefully.