Change in asset from Sch C to E

[taxesbydot]

Client retired and has decided to rent out his commercial building. How do I switch the asset from Schedule C to Schedule E? I stopped depreciation on the Sch C with a disposition date of 8-31 and no entry in the sale amount, but how do I move forward with a partially depreciated building on the Sch E?

[Terry53029]

Just use adjusted basis for the schedule E, and date in service when available for rent

[taxesbydot]

Thank you. That is what I did, but then does the life stay at 39 years? And this will be first year depreciation for the Schedule E?

[Terry53029]

Yes

[BobKamman]

I'm not sure I would start the depreciation over with the remaining basis, just because it switched from Schedule C to Schedule E.  You might have to enter the data again, starting with original cost, date acquired, and accumulated depreciation.  The depreciation amount will be the same but you won't be able to continue past 39 years.