AMT vs Regular Tax - Depreciation for Rental House and Passive Loss Carryovers

[wully7309]

Hi Community - 

I am a bit lost with AMT. I switched to TT for 2023, but prior to that, I had a CPA doing my taxes. Previous returns consistently had Schedule D, Depreciation, and Form 8582 (Passive Activity Loss Limitations) specifically for AMT. Now, when I transfer AMT passive loss carryovers to TT, TurboTax does not generate a separate AMT Form 8582. Can you please advise why?

Accumulated depreciation for AMT looks much lower than for regular tax depreciation. Apparently, CPA messed it up. CPA just amended past returns to correct Regular Tax depreciations, but he did not fix AMT depreciation. Is it a concern?  

Also - I cannot comprehend why AMT passive loss carryovers are different. They look like random numbers. 

My general question is also what is the point of tracking with AMT figures from the past?

[wully7309]

@LeticiaF1, @xmasbaby0  @tagteam @DianeW777  - could you kindly advise please. Thank you.

[tagteam]

The form is strictly for your records. Passive activity losses are calculated differently for AMT purposes.

If you want to see the actual figure you can check your Schedule E Worksheet in Forms Mode.

Also, you can generate an AMT version of your 8582 in Forms Mode and note that the form is not filed but is strictly for your records.

[wully7309]

@tagteam - thank you. Are there any issues anticipated when I sell the rental house if AMT accumulated depreciation or AMT passive loss carryovers are incorrectly calculated? Do I understand right that I have to input both of these along with regular tax accumulated depreciation and PLC in TT for a year when I sell the house?

Separately - what specific things do I need to be mindful of (cost basis, depreciation, etc.) if I decide to do a 1031 exchange? 

[tagteam]

I think you should consider consulting with a local tax professional but, in particular, you should contact an exchange facilitator (1031) and inquire about the nuances of that type of transaction since they can provide a wealth of information that you should have prior to making any decisions along those lines.