How can one combine/aggregate multiple rental properties into one real estate enterprise?

centaur1905

I have multiple rental properties, when I used turbotax, it would ask if I want to treat each property as part of an enterprise, I haven't been able to do this with FreetaxUSA, is this even possible, and how? Thank you.

MatthewD

Hi,  

Thank you for the additional information. Although we do support Section 199a for the rental real estate Qualified Business Income Deduction, we do not support combining real estate properties for a real estate enterprise. When you're entering your rental property, see the Miscellaneous section on the Your Rental menu page and the qualified business income deduction option. You'll be able to answer questions and enter information required for the qualified business income deduction. So technically you can still use our software, but each rental property will be its own. 

https://www.irs.gov/pub/irs-drop/rp-19-38.pdf

MatthewD

Hi centaur1905,

I am not sure how Turbo does an "Enterprise" for rental. Let me explain how our software will organize it.

1. On the "Your Rental Income" page, select Add a Rental
2. Enter all the information for one rental property.
3. When are done with one rental return to the "Your Rental Income" page and repeat step #1.

When you view your tax return, the Schedule E will be the way you enter all the rental properties in order, and at the end of your return the depreciation schedule will also be listed in order and each page will have all the assets for each property.  It is very organized and easy to understand.

centaur1905

Hi, I apologize, perhaps I should have been more specific. I was asking about the section 199A "Rental Real Estate Enterprise Statement" that should be signed and provided with the tax return if I make that election.