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TurboTax Premier Desktop is not calculating Space Ratio for renting out part of home

I've tried different ways but am not getting TT to arrive at the correct depreciation with time ratio ( and space ratio applied.  I rented out 5% of the home for 1/4 of the year. but TT did the depreciation as if I rented out 100% of the space.  Anyone know how to correct this?

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Accepted Solutions
PatriciaV
Employee Tax Expert

TurboTax Premier Desktop is not calculating Space Ratio for renting out part of home

If you rented 5% of your total space for 25% of the year (1/4), then your business use is 1.25%

  1. When you enter the residence as a Rental Asset, look for the page "Tell us more about this rental asset." 
  2. Answer "NO" to the question "Have you used this item 100% for this business since you acquired it?
  3. Check the radio button for "I first used this item as least part of the time for this business and also used it for personal purposes."
  4. Enter the date you started using it as a rental.
  5. Enter the percentage you calculated, 25% of 5%, as a decimal number: 1.25%
  6. Continue to the next page to see the estimated depreciation expense for this year.
  7. Check the box for "Show Details" to see the details used to calculate depreciation for your rental. 
  8. Continue back to the Rental Summary page.
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1 Reply
PatriciaV
Employee Tax Expert

TurboTax Premier Desktop is not calculating Space Ratio for renting out part of home

If you rented 5% of your total space for 25% of the year (1/4), then your business use is 1.25%

  1. When you enter the residence as a Rental Asset, look for the page "Tell us more about this rental asset." 
  2. Answer "NO" to the question "Have you used this item 100% for this business since you acquired it?
  3. Check the radio button for "I first used this item as least part of the time for this business and also used it for personal purposes."
  4. Enter the date you started using it as a rental.
  5. Enter the percentage you calculated, 25% of 5%, as a decimal number: 1.25%
  6. Continue to the next page to see the estimated depreciation expense for this year.
  7. Check the box for "Show Details" to see the details used to calculate depreciation for your rental. 
  8. Continue back to the Rental Summary page.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

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