We have a commercial property where we repaired a roof. The cost was $47,740. As a test, I entered the roof as an expense and everything balanced out. Then I removed the roof expense and applied it to "add another rental asset" so it would be depreciated over 39 year. Now the balance sheet (end of year total Liabilities and capital) is out of balance by $47,740 (it shows "-47,740"). The only way I can get it to balance is by going back and add "Roof repair" as a business expense. I know I cannot do this.
One other thing I noticed is that if I enter the $47,740 as an expense AND enter it as depreciation, TurboTax says everything is in balance.
Anyone know what I need to do? I thought If I added $47,740 to depreciation, Turbo tax would automatically take care of the balance sheet.
posted
last updated
January 17, 2025
12:51 PM