Good Evening All,

I have a client which i filed 2023 return that had a rental property that was rented for only Jan 2023 and he moved into it in February 2023. I believe i may have mistakenly entered the data incorrectly. In the SCH E worksheet, i entered 30 days rental and 335 days personal use and it correctly prorated interest/taxes/depreciation etc to Sch E and SCH A. He lived in property Feb 2023 to Mar 2025 and sold property. I'm trying to file his 2024 return but that property is still showing up as a rental. Just trying to figure best way to handle this property. All the interest/taxes i'm using on Sch A. I think i need to keep property as Rental with no activity and when we file 2025 taxes deal with the sale as sale of personal with depreciation recapture. The property was purchased May 2018. Any suggestions on how to handle would be greatly appreciated.

Thanks,

Ray Burts, EA