How to report and calculate when your rental house becomes your main residence

Forum|Forum|5 years ago
April 11, 2021
5 replies
43 views

I had a client who converted his rental on 06/01/2020 to his main home. How do I report, He sold his main home. and the partial year rental activitiy??

ProSeries Basic

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Camp1040

Level 10

Report a half year of rental income and expenses, enter 6/1/20 as date sold with amount left blank, print the depreciation report for use down the road. This should have been covered in some class you took.

If he sold the rental in the same year he stopped renting it, it did not become his main home for exclusion.

dkh

Level 15

Complete the Home Sale Worksheet for house taxpayer had as principal residence before making the rental his principal residence. And report on Schedule E all rental activity (income/expenses/depreciation) that occurred prior to taxpayer converting rental to principal residence. See Camp1040 reply regarding entering sale date to stop depreciation.