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Old 09-14-2015, 12:01 PM
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Conversion of rental property to non-rentalm second home

We have a property in Florida would normally qualify as a second home (primary residence is Michigan). It was rented until November of 2012, then treated as second home in 2013, 2014 and 2015. We sold the home in March, 2015. For our tax returns for 2012, we neglected to indicate that the property was converted to second home; for 2013, and 2014 we no longer filed a Schedule E for the rental property, but did deduct property taxes and mortgage interest. How do we handle sale of the home in 2015 from a tax standpoint? Can we handle it as sale of second home (it's will be a loss), or do we have to handle it as sale of rental property, with depreciation, etc.?



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