Schedule E Depreciation allocation for multiple owners

[jcash]

New client to me.  Owns 47% of a residential rental property.  All expenses recalculated using the 47% except for the depreciation.  The schedule E worksheet does not all me to allocate depreciation and therefore by default this client is showing 100% of the depreciation.  Does anyone know a fix around for this?  Thanks in advance!

[TaxGuyBill · Accepted solution]

Go to the Asset Entry Worksheet and do either (a) enter 47% as the business percentage, or (b) change the Basis to 47% of the total cost (the Basis of your client).

[jcash]

thanks Bill.

I did try using the business percentage but it came back incorrect.  (I think because its below 50%.

I will reduce basis as a fix.

This is sort of crazy that they don't allow application of the ownership % on Schedule E.

[BobKamman]

Not any crazier than thinking all owners have the same basis.  Your guy could have bought the 47% from a previous co-owner, or inherited it from someone who left it to him along with stepped-up basis.  

[jcash]

Good point!  In this case the overall basis is the same for all parties.