To claim an amount of depreciation for part-year use of an asset (if you need help accessing Form 1099-B in the TaxAct program, go to our Schedule C - Entering Sole Proprietorship in Program FAQ) that was converted from business use to personal use during the year (this excludes the capital loss that cannot be claimed unless you actually sell the asset):
- From within your Form 1099-B, on the screen titled Business Income - Depreciation, click Yes.
- On the screen titled Business Income - MACRS Depreciation - Assets, click Yes.
- On the screen titled Depreciation and Vehicle Expense - Entry Method, click Step-by-Step Guidance.
- On the screen titled Depreciation - Disposed, enter the Date sold (date no longer used for business/investment/rental purposes).
- On the screen titled Asset Sale - Gain or Loss, click Modify if you did not actually sell the asset.
- On the next screen, select Converted from business use to personal use.
This should remove the capital gain or loss on the asset from the tax return.