All Forum Posts by: Reid Isaki

Yup you are correct! I know I had to send some document to rentals who weren't under that jurisdiction because I am not an LLC or corp. Thanks for your help! the RSO office is really really backed up and they make you call back vs. leaving a message. Thanks again for your help!

Having a hard time to find this answer but I know that LA city has RSO but for rancho palos verdes, what are the laws surrounding single family home rentals? ie: in la city proper (Rent Stabilization Ordinances) state that you can only  do no fault evictions, if you are moving in, or a relative is moving in and you must pay relocation.  

For Rancho Palos Verdes, CA is there such a thing? Or if when the lease is up on a tenant they must move out or sign a new lease, or go month to month at the owner's discretion.    Trying to make sure I understand the rental laws of this city well, but it's so undocumented and wondering if anyone here has experience with this.   Thanks everyone!

I looked at filing an amended return but it doesn't really have any line items for carry over losses from rental property from the previous year. I know I needed to file a 8582 and a 6198 but only filed the 8582.  Is it possible to amend this or am I just out of luck on last years losses? I had excess of 5700 in losses last year and want to carry it forward.

Anyone have experience with airbnb the str in palos Verdes? I know they have a 30 day minimum now and wondering how profitable it is?  

or does anyone have experience with leases on sfh for less than one year? 6,9 12 month lease Max?

is there renters who want to rent sfh for less than a year?

@Dave Foster   I knew I could count on you. Thats what I thought moving from schedule E to schedule A.  Thanks for your quick reply!!

appreciate the response.  So I guess the answer I am looking for the original question is a simple no. There is no special form to fill out when you convert a rental to primary. I find this kind of odd but say I rent the house for 1 year. then move in and live there for 29 years then I sell it. The IRS didn't get any notification that I was using the rental as a primary home, and also didn't depreciate anything or also report income for the 29 years I lived in it as a primary.  At the time of selling is all this getting reconciled?  ie: thats when the IRS will know that I converted it to a primary residence?

4562 is a form used to let the IRS know what i'm depreciating, and the schedule E also lets them know that a home is used as a rental, but I don't see any form that will convey that a rental is now not a rental since it will be used as a primary residence. 

Let me know if anything is unclear here. 

before we get too far ahead of ourselves I'm hoping someone else can chime in here.  If I simply stop claiming depreciation that doesn't tell the IRS that it has been converted to a primary residence. 

https://www.thebalance.com/depreciation-recapture-3192979

https://www.biggerpockets.com/blog/2014-07-31-four-depreciation-tax-mistakes-investors-need-avoid

etc.. quick google search will throw doubt into what you are suggesting.

check out Internal Revenue Code 1250(b)(3). if you haven't been claiming depreciation and are planning on avoiding depreciation recapture using this strategy you are either giving incorrect advice, or are doing your taxes wrong this whole time. 

Correct but whether you claim depreciation on your property or not. The IRS is... So if you aren't claiming that depreciation through the years and you sell it... You pay that back even if you didn't claim it all those years.

So my original question is, if i convert the rental to primary I'm obviously not going to depreciate it anymore but how does the irs know I've converted the property?

I can't find any information on converting a rental to primary re: irs forms.  I know the 4562 is what I would use to put improvements for my rental into service and depreciation on the property, but not for letting the IRS know that I'm taking this rental out of service so I won't be depreciating the property and will be using it for primary use.  

my main concern is if I buy a rental, depreciate it for 5 years, then decide to move into it. The IRS would automatically be calculating depreciation on that property whether I take that deduction or not.  How would the IRS know to not depreciate the property (and thus stop incrementing the depreciation recapture when I do sell it eventually).  I would assume I would submit some form to let them know, but I can't seem to find that form if it exists.

Thanks,

Reid