My wife and I co-owns a rental duplex (50% each). TT will halve my total expenses but deduct it from the TOTAL gross rents. So 16K gross and 12K expenses will appear like this. 16K - 6K (50% of expenses) = 10K income divided by our 50% for 5K each. Even a grade school pupil will tell you that the profit is only 4K total and 2K for each of us. CRA Form T776 instructs the same. Has this been corrected by both TT and CRA?
If you are using the desktop software, and the forms entry, make sure to NOT indictate 50% personal in the expenses on the rental form. Personal portion does not mean your share of the rental income...it indicates if you yourself are occupying a portion of the rental property. As you are not do not indicate a personal portion of the expenses.
TurboTax Premiere 2016 Version 00.01.73 Build 7010 (2016.71). I updated it when I installed it 3 days ago.
I got your email saying the "personal portion" is not my share of expenses or ownership but what proportion of the rental property I occupy which in my case is zero, not 50%. Thank you very much for the clarification and quick help.
This still doesn't solve for the fact that the income is being used at 100%. Renora, in your case if you remove personal portion and make it 0%, you will be both taking 100% of expenses. Instead, you would have to input your portion and will be faced with the same end number. Unless both parties take 100% of gross rent, 100% of expenses and then the formula multiplies by 50% (ownership). I'm stuck myself.
If you are using the desktop software, and the forms entry, make sure to NOT indictate 50% personal in the expenses on the rental form. Personal portion does not mean your share of the rental income...it indicates if you yourself are occupying a portion of the rental property. As you are not do not indicate a personal portion of the expenses.