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Returning Member
posted Jan 17, 2020 12:27:00 PM

Set up a fully depreciated rental property on Turbo Tax

I sold a rental property in 2019 that was fully depreciated before I started using Turbo Tax.  How do I set it up so the Gain on Sale can be calculated

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4 Replies
Level 15
Jan 17, 2020 3:23:56 PM

Did you have any rental income or expenses for 2019?

 

You should set this up in the Rental Properties and Royalties section of the program, regardless.

 

 

Level 15
Jan 17, 2020 4:13:34 PM

So I take it you have owned this property for more than 27.5 years and it has been a rental property for more than 27.5 years since that's the only way it could already be fully depreciated. Your situation while not rare, is not that common either.

Basically, just work it through the rental & royalty income (SCH E) section of the program and pay attention to detail. Your situation is nothing that the TTX program can't deal with *PROVIDED* you pay attention to detail and correctly enter the data the program asks you for. This just isn't that big a deal.

Returning Member
Jan 18, 2020 8:33:46 AM

We had a couple of months of rental income and quite a few repairs to get it ready to sell.  I'm thinking I can't set up the fully depreciated duplex and record the sales price because the IRS doesn't have the required form in the depreciation section ready.

 

Level 15
Jan 18, 2020 8:37:32 AM

@SAMTHOMAS Yes, you will have to wait until that section of the program is completed.