Assets/Depreciation for rental property not working

[pointsproblem]

When I go to enter information for depreciation or points that I payed on a property purchased this year in the Assets/Depreciation section, the prompts exit out to the main menu before allowing me to input any actual numbers. The final screen I see is titled "Now, let's review each item you bought". When I click continue, it exits to the menu without letting me enter the points that I payed during the year or depreciation on the property. I am using Turbotax home and business 2020. Any help with this issue would be much appreciated. 

[Carl]

When I go to enter information for depreciation or points that I payed on a property purchased this year in the Assets/Depreciation section, the prompts exit out to the main menu before allowing me to input any actual numbers.

Just to clarify, entering your points is done a little bit differently than entering other assets. While assets are capitalized and depreciated over time, with the "time" determined by the MACRS classification of the asset, points are amortized and deducted over the life of the loan; typically 15 or 30 years. So here's how to enter the points. (does not apply to entering the property itself, or any other property assets.)

- Select the Add and Asset button. (go straight to the asset summary if presented that option)
- Select Intangibles/Other Property, then continue.

- Select Amortizable Intangibles, then continue.

- Describe it as something like "2020 Financing Fees".  Then enter the amount, and the closing date of the loan. Then continue.

- Select "purchased new", then "100% business use", enter the closing date of the loan (again), then continue.

- Code section is 163:Loan Fees, then continue.

- Useful LIfe in Years is the length of the loan, then continue.

- You can "show details" if you like. Then continue, and that does it.

[pointsproblem]

My understanding is that prepaid interest (points) can be deducted in the year that it's payed. Does turbotax not allow me to do this? I also think that I should be able to depreciate my rental property, which I don't see the option to do. When I look at the section that says "review your rental summary", there is a section that says "assets/depreciation" with the subheading "property, improvements, appliances, points". When I click on update, I am never given the option to enter points, or property or any assets at all. It kicks me out to the summary menu as I stated in my original post. There is no "add an asset" button. Am I in the wrong menu?

[Carl]

My understanding is that prepaid interest (points) can be deducted in the year that it's payed.

Your understanding is correct for your primary residence. But not for business property, which includes residential rental real estate. For a synopsis, see IRS Tax Topic 504 at https://www.irs.gov/taxtopics/tc504

The very first requirement is that "Your main home secures your loan". You don't meet that requirement. So you have to amortize and deduct over the life of the loan.