Home office 2 for same business

[ljwalters]

This is my nightmare return this year.

Clients have Sch C uses office in home every year.

Client lost home this year UGH.. sale including office in home dep...

Client is now renting since august. so now I need to have 2 office in home forms for one business.

I tried to use the button at the top and chose office 2 but all the infor from office 1 stays in the new form.

Also how do I make the program calculate half years dep. for the home lost.

any suggestions.

Linda and buddy

[Pacun]

As long as there is enough income on schedule C, I am able to enter 2 8829 forms. One gets labeled as home 01 and the other as home 02. I was also tempted to use 2 schedules C since you have two different addresses, but I know you should use one schedule C for same or similar activities.

Since your client lost his first home, don't you think it will not make any difference if you don't claim Business Use of your Home since you will have to recarapterized it as ordinary income?

Another point I want to make, he is now renting. Remember the exclusively and regularly rules, unless it is a daycare or you have inventory at home.

[ljwalters]

The depreciation of the home is only $230 of the total $1850 deductin the get using office in home. And they have ben taking this deduction since 2004 so I still have the recapture. But in this case it will be a loss because of the forcloser. Or am I wrong on this. Profit on the business is no problem, it is $116,518.

I did get the second office in home to flow I didn't know I had to open a whole new form, I was trying to just use the button at the top.

Now to deal with the forcloser and sale of office in home, 1099C that is all but $9,000 acquision debt. The 9,000 was spent on equipment fore the business. (I just learned this little point).