How do I remove a partially-rented out home from service?

Forum|Forum|2 years ago
February 9, 2024
1 reply
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Hi,

I stopped renting out my home at the end of the year, as it was a clean break and renting out wasn't worth it.

Do I simply remove this property from turbotax's Income & Expenses and start adding all of the mortgage in deductions & credits?

What happens to all of the prior year disallowed losses (supplies, depreciation)? Do these re-appear if I decided to rent out the property again? What if I dispose of the property without having renting it out again?

Thanks in advance

ThomasM125

You shouldn't remove the property unless you want to manually keep track of the asset information as you'll need to account for it when you dispose of the property. You can indicate that you converted the property from a rental to personal use on the page that says Do any of these situations apply to this property? You will need to then go to the asset entries for the property and indicate that each asset was converted to personal use. Your suspended losses will be carried forward to be taken when you rent the property again or sell it.

You will going forward enter your mortgage interest and property taxes in the deductions and credits section as you may be able to use them as itemized deductions.