Depreciation not calulated on rental property

[jackvhn]

Does any one know whey TurboTax Premier does not calculated depreciation on rental property?

Regards,
JN

[ColeenD3]

Did you enter it as an asset and go through the asset interview?

[Powder144]

Want to check to see if  depreciation was calculated correctly

[Powder144]

Yes entered 10-1994, $50,000 value, 27.5 yrs. what is correct yearly depreciation

[DianeW777]

It depends.  If we subtract 1994 from 2023 we have 29 years (prior to 2023).  If this is the case and it's been depreciated from 1994 forward then you have used all of the 27.5 years of depreciation allowed on this property.  Check you date placed in service and the total prior depreciation on your rental property.  Please update here if you have more questions and see the chart below.

@Powder144 

[Powder144]

My first time using Turbo tax, trying to figure out how they calulated my depreciation amount on line 18 schedule E, they came up with 98,182 on $50,000 rental property, I have been deducting 1818 every year since 1995

[PatriciaV]

For a residential real estate asset with a cost of $50,000 placed in service on 10/1/1994, TurboTax calculates that the total accumulated depreciation as of 12/31/2021 would be $49,470. That leaves $530 to be depreciated in 2022 ($1818/12 x 3.5 months).

To confirm your entries, go to the Asset Entry Worksheet (Asset Wks) in Forms mode.

Line 3 : 10/01/1994 (or whatever date you first used the property as a rental)

Line 4 = $50,000

Line 6 = 100%

Line 10 = $49,470

Line 11 = $530

These entries will report the correct depreciation for this year.

@Powder144