We have used a small portion of our home for my wife's business for years. From 2018 through 2023, Turbo Tax calculated the exact same depreciation value ($711) each year for line 42 of form 8829. This was based on a basis of $210,000, usage of 13.2% of the home which yielded a deprecation percentage of 2.564% hence the $711. We moved out of the house in September 2024 and so only used it for the first 9 months of the year. However Turbo Tax is populating a value of $1,343 for line 42 and I cannot understand why. All of the values for home basis, usage percentage and deprecation percentage are the same yet line 42 is nearly double what it normally would be.
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Line 42 on Form 8829 is a calculation.
If the amount on your 2024 Form 8829 line 42 is different than the 2023 Form 8829, there has got to be some other number that changed as well.
Can you compare the 2023 8829 to the 2024 8829 and see what other numbers changed?
Specifically lines 3 and 7 (they should be the same) and then lines 37 through 42.
I assume you can view the forms already.
In TurboTax Desktop, switch to Forms top right,
For Online use Tax Tools
I realize its a calculation which is why it is odd. To answer your questions on the differences between 2023 and 2024.....lines 3 through 7 (minor difference in row 5 as the IRS changed it from 8760 to 8784) are the same. Lines 37 through 41 are the same. As a result, Line 42 makes no sense.
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