derekchha
New Member

With a new rental property co-owned with wife, do I add 50% or 100% of purchase price to UCC additions on my return?

I bought a rental with wife last year with my wife and we own it 50/50.  I recorded it as "co-ownership" on last year's tax return and added 50% of purchase price to UCC on my tax return, not 100%. 

The revenue and costs seem to be split properly automatically by Turbotax.  However, when I reviewed the CCA calculation, it looks wrong.  It looks like Turbotax is calculating the CCA based on the 50% purchase price I entered into UCC, and then taking half of that amount (I believe I'm effectively only getting 25% of the total CCA on the property instead of 50%)

Should I have entered 100% of the purchase price into UCC additions last year to ensure Turbotax appropriately calculates CCA?  The additional wrinkle is that I have another rental property that is only under my name and it seems like the net income on that property influences how CCA is deducted on the jointly owned property.  Specifically, the amount of CCA deducted on the joint property seems to be different on my return vs hers.