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Updated over 1 year ago,
Tax implications to convert LTR to STR mid year?
We converted a LTR into a STR September 1, 2022.
Of course i've waited to the last minute to complete my taxes and am struggling with this.
I have completed my taxes for 20+ years using Turbotax - but this is a little confusing - I should have hired an account - but I'm a little late :(
My question is how do I account for this change given it took place mid year?
Since the property would be a LTR for 1/2 of the year and then a STR the remaining part of the year - would I take a portion of the depreciation for the LTR and then add the property to the STR business portion of my Taxes?
If that is the case - what happens to that property in 2023? Would i remove it from my 'rental' property section and just have it under the business portion of taxes?
Any guidance that could be provided would be very helpful!
Thanks,