That's a good idea to rename it, "Former Passive Activity" and let it ride. Since you generally cannot enter a prior-year loss directly onto Form 8582, you should not delete the Schedule E . Instead, indicate on the Schedule E that the property was used for personal use 100% of the time, with zero rental days and ensure all current-year rents and operating expenses are blank or zero.

By showing zero rental days and zero income/expenses, ProSeries will recognize that a Schedule E does not need to be filed or printed for the current year. However, this will preserve the property worksheet in the system so that any prior year unallowed losses are rolled forward to the next year.