I sold my main home that I lived in for 28 years, but for 5 years I used a room for a home business in which I used the simplified method on the square footage of the room for my business expense. How do I claim the depreciation that I don't believe I took in any of those years, on my taxes now.
Yes, you are correct. The simplified method is just that, simple. No depreciation, no depreciation recapture.
Thank you however my tax software is requiring me to put an a number on the depreciation line in order to move forward on my taxes. Did I possibly do something wrong, input something in a place in the software I should not have that is trigging this requirement? I do not have a capital gains requirement do to the sale of the home so not sure why it is requiring an entry on the depreciation. Thank you
Actually it is requiring me to put an entry on the AMT line, not the depreciation line, even though it shows I don't owe an AMT.
Try entering Zero or revisit the interview and answer "No" to home office and/or depreciation.
Be sure to enter this under "Sale of Home" and not "Sale of Business Property" nor sale of an investment.