Rental Property Form 4562 Not Required? Schedule E Loss?

[Crazydude]

I'm doing my taxes by hand this year and I have two rental properties, both put in use in 2015. I found this examples on the IRS website: https://www.irs.gov/publications/p527/ch03.html which if you read the example at the very bottom of the page, you'll find an individual who had a tax loss on a rental property and was not required to file form 4562.

I'm still planning on filing one anyway, since I'm only filling out two lines on it (line 19h). Am I right in thinking that my rental properties do not require anything in Parts I, II, V, and VI?

Also, line 22 on schedule E (loss or gain from properties) I'm guessing will be the same as line 21 (deductible real estate loss). I don't think there is any limits to my deduction since my income is not above 100K. Any thoughts?

Thanks in advance. I've researched for at least an hour on this but found nothing definitive.

[COlady]

I'm a CPA. Why are you trying to do your taxes by hand? Use TurboTax. It's great that you want to understand what's going on but you can still do that using software. Form 4562 is the form that depreciation is reported on.  You must depreciate your rental property, depreciation is not optional. I'm not sure in what instances one would not be required to file Form 4562.

[Crazydude]

I thought it was strange that an IRS example had shown it as not required. I was contemplating using Turbo Tax after doing them by hand. I have a business as well so my tax scenario fr 2015 is state taxes from two states, rental property, self employment, regular employment, it's getting complicated.

[Drifterrider]

I'm a CPA. Why are you trying to do your taxes by hand? I'm not sure in what instances one would not be required to file Form 4562.

If you have no depreciation you don't need to complete the form.  Bought house near end of year, had some expenses but no tenant (thus, no rent), could not take depreciation because it wasn't in service.  Will start taking depreciation this year.

[jwright]

I'm doing my taxes by hand this year and I have two rental properties, both put in use in 2015. I found this examples on the IRS website: https://www.irs.gov/publications/p527/ch03.html which if you read the example at the very bottom of the page, you'll find an individual who had a tax loss on a rental property and was not required to file form 4562.

I'm still planning on filing one anyway, since I'm only filling out two lines on it (line 19h). Am I right in thinking that my rental properties do not require anything in Parts I, II, V, and VI?

Also, line 22 on schedule E (loss or gain from properties) I'm guessing will be the same as line 21 (deductible real estate loss). I don't think there is any limits to my deduction since my income is not above 100K. Any thoughts?

Thanks in advance. I've researched for at least an hour on this but found nothing definitive.

From the link that you posted,  you must complete and attach Form 4562 only if you are claiming depreciation on property placed in service during 2015....Otherwise figure depreciation on your own worksheet.  You do not have to attach these computations to your return, but you should keep them in your records for future reference. 

So in your case, 4562 is required.   In the example at the bottom of the page linked "Marie" put her property in service in 2010, so it is not required for her.

[Crazydude]

Ok I see. I did my taxes by hand, but now I'm transferring it to Turbo Tax for comparison.

[clarkfan1979]

Good call. Switch to some sort of software. If you are trying to do your taxes by hand with two rental properties, you are a crazydude!