Welcome back! Ask questions, get answers, and join our large community of tax professionals.
cancel
Showing results for 
Search instead for 
Did you mean: 

TP was depreciating home office improvement as an asset. Client is not using that space as a home office anymore. How do I change the use of the home office asset?

Golfer2016
Level 2

They are renting that house and now that asset should be on their schedule e.  Do I full dispose of the wood floors?  I don't think that is right because that would be taxable.  I can't see how I can change use.  I think I should be able to stop depreciating it on home office, and then continue as an asset for their schedule e.  Do I delete the asset from home office and start a new on schedule E? Please let me know your thoughts.  

Labels (1)
0 Cheers
1 Solution

Accepted Solutions
IRonMaN
Level 15

Start a new schedule E with a new asset but show prior accumulated depreciation for the asset.

ACME Taxes, Tatoos, Tires and Turtles (I've expanded my line of products to better serve you)

View solution in original post

0 Cheers
3 Replies 3
IRonMaN
Level 15

Start a new schedule E with a new asset but show prior accumulated depreciation for the asset.

ACME Taxes, Tatoos, Tires and Turtles (I've expanded my line of products to better serve you)

View solution in original post

0 Cheers
Golfer2016
Level 2
For date of service, should I put the date that the floors were starting to be depreciated for the home office?  For the home office entry I put the date the use changed but didn't put a sales price.
0 Cheers
Golfer2016
Level 2

I was thinking I could just change the type of asset  by going to forms, change activity.  However, that isn't working.  

0 Cheers