taking Home office out of service

Forum|Forum|4 years ago
February 9, 2022
2 replies
13 views

Taking Home office out of Service - closing self employed business with 39yr depr have a few years left which is creating a large loss? Doesn't seem correct to me, but not related party as it is tp house and not selling so selling house home office doesn't apply. Should I mark related party anyway? or Mark the not taxable to Federal or State Boxes?

Mahalo for your time

Blessings Teri

Lacerte Tax

This topic has been closed for replies.

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TaxGuyBill

Level 15

Just taking it out of service should NOT be showing as a sale of the home.

In ProSeries, we enter the disposition date and leave the sale price BLANK, and that properly stops the depreciation.

Hopefully you can figure out a similar thing in Lacerte, or perhaps a Lacerte user will stop by and help you with the specifics for how to do it.

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TeriAuthor

Level 2

Thanks Lacerte uses -1 for zero but triggers the 4797

I marked not taxable and it did not trigger the 4797 another user also gave me something to try

Mahalo for your help

PhoebeRoberts

Intuit Community Champion

In Lacerte, you just change the method to 99. That preserves the historic depreciation information for a future sale. You may need to change the form number to 4562 Only to clear a "this asset is linked to a schedule that doesn't exist" diagnostic.

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TeriAuthor

Level 2

I had land as Method 99 carried over to 4797

I did find a puka to check under additional disposition information and checked not taxable to Federal or State on House and the Land seemed to have worked need to recheck the work sheets.

Mahalo for your help

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