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@kdorsey wrote:

How do you carry over the loss while removing the schedule E from the tax return?   but it needs to show up on the form 8582 carryovers each successive year.

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ProSeries is faulty, and you can't do it correctly with ProSeries.

Most ProSeries users just add it when the property is sold, but it as you say, you are SUPPOSED to include the 8582 every year, but you can't do it correctly with ProSeries.

@kdorsey wrote:

The loss is not deductible until there is other passive income to offset or the property is sold,

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Only when the property is sold.  It is no longer a rental, so it is no longer considered a passive activity.  So even if you have other passive income, the losses from the former rental property can't be used against it.