Partial Depreciation or Full Depreciation

Forum|Forum|3 years ago
February 5, 2023
4 replies
33 views

I'm selling a rental property. The program asked how many days it was rented (it was not a full year.) The program did not ask for date of sale. The program calculated a depreciation value for the full year. I know it will be a wash when I recapture, but shouldn't the program only use the depreciation for the partial year?

PattiF

Level 15

The depreciation should be for the partial year. The following should help you find where to enter the date the rental property was sold.

Follow the instructions from the TurboTax Help article that will guide you through how to enter the sale of the rental property.

With your return open in TurboTax, search for rentals and then select the Jump to link in the search result.
Answer Yes to the question Did you have any income from rentals or royalties?
When you get to What are you here to report? select Rental property and fill out the description, address, and owner.
When you hit Tell us about your situation this year check the Sold box along with any other boxes that may apply.
Continue following the onscreen prompts to enter info about your rental property. Eventually, you'll get to the Review your rental property info screen. You can report the sale in the Expenses/Assets (Depreciation) section, along with any other pertinent info (like income and expenses)

Tip: Take your time and pay close attention. There's a lot of info and it's easy to miss if you're in a hurry.

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447debbieAuthor

Level 4

This does not work. It does not ask to tell about situation. Note that this was purchased in 2021 and I've been using TurboTax all along, so the property information is already in there.

Mike9241

Level 15

until you enter the sales info the depreciation will not me prorated.

there should have been a question as you were entering data about the property being sold.

then you should have seen a question about going to asset summary which is where you enter the disposition data. you have click on the edit link to get into the asset to enter the disposition info

on the page that says tell us more about this rental asset right below the box "I purchased the asset" is the box that must be check to indicate it was sold. then other boxes will open to enter the sales info. this must be done for each asset for the rental property.

easy to miss this

Mike9241

447debbieAuthor

Level 4

There is NO 'I purchased this asset' box. This does not work. Note that this was purchased in 2021 and I've been using TurboTax all along, so the property information is already in there.