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dracine99
Returning Member

Co-ownership cca not automatically equally split between co-owners

Using TurboTax online, when trying to enter CCA for a co-ownership rental property, TurboTax does not automatically equally split the CCA between co-owners based on the percentages for co-ownership provided. The full amount seems to be applied to my profile only.  All other Revenues and Expenses are split correctly except the CCA. Is this a bug or do I have to go back and calculate the CCA manually for each co-owner and enter it manually?

7 Replies

Co-ownership cca not automatically equally split between co-owners

Could you clarify how many co-owners there are?

 

Thank you for choosing TurboTax.

dracine99
Returning Member

Co-ownership cca not automatically equally split between co-owners

Four co-owners, my wife 25.5%, myself 25.5%, co-owner 3 = 24.5% and co-owner 4 = 24.5%.

My wife and I file together so when I look at the Rental Summary for my wife and me the Net Income is not equal and it should be.

Co-ownership cca not automatically equally split between co-owners

 

Please contact our phone support team at 1-888-829-8608 as they will be better able to assist you. They can look at the return with you to see what is going on.

dracine99
Returning Member

Co-ownership cca not automatically equally split between co-owners

I did call the number and in the end, the answer is that TurboTax doesn't split the CCA automatically between co-owners based on ownership percentages and we need to calculate it manually on the side and enter it manually for each co-owners.

I don't think this is intuitive since nothing is mentioned anywhere that TurboTax needs you to do it this way and is likely prone to have users assume it did the split on all and submit erroneous information.

In one single flow, you are asked to enter the co-ownership information (with the percentages), the revenue, the expenses and the CCA, then at the end TurboTax automatically splits the Revenue and Expenses as per the co-ownership percentages but not the CCA.

How should the user know that TurboTax will not apply the split to the CCA but it will for the revenue and expenses?

Your competitor has a drop-down with the option to tell the tool if you want the CCA deduction to be applied only to your profile or equally against the co-owners as per the percentages.

You should seriously consider adding this option to your solution.

Using the software to complete my income tax but having to calculate myself on the side the amounts and the splits seem counterproductive and defeat the reason for using the software.

Co-ownership cca not automatically equally split between co-owners

Thank you for the update and your feedback, we value your opinion and will share this information with the proper TurboTax team.

Thank you for choosing TurboTax.

nflagel
New Member

Co-ownership cca not automatically equally split between co-owners

I found this post really helpful. Turbotax could definitely do a better job of clarifying this. Thanks!

Co-ownership cca not automatically equally split between co-owners

Thank you for your feedback, we value your opinion and will share this information with the proper TurboTax team.

Thank you for choosing TurboTax.