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Level 2
posted May 8, 2020 3:26:19 PM

Does Turbotax keep track of depreciation ?

My mother passed away in 2019. She had a revocable living trust that consisted mainly of a vacation rental house. Turbotax has been keeping track of the depreciation records over the last 6 years but will they continue to automatically now that trust got it's own EIN after she died and I will have to do a return next year with that new EIN? 

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3 Replies
Level 15
May 8, 2020 3:34:27 PM

Ok for 2019  a final personal return needs to be filed and the first trust return needs to be filed.  As of the DOD the personal income stopped and the trust is now it's own entity which requires it's own EIN. 

 

In the TT program the rental needs to stop on the personal return form 1040 and start on the trust form 1041. The program will not do this automatically and you will need the TT Business program to complete the 1041.

 

I highly recommend you seek local professional assistance to get these returns done correctly. 

Level 2
May 8, 2020 3:41:56 PM

Thank you. Do you know which return the depreciation for the rental goes on? In other words is it credited at the beginning of the year or the end? Or does it get prorated for each?

Level 15
May 8, 2020 4:18:37 PM

Both ... some until the DOD on the personal  and  again on the Trust return however it is not as simple as it sounds ... seek professional assistance since the TT program will be no help.