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Can I use the date the contract was signed (March) as the placed in service date for depreciation or must I wait until October when they occupied?
I bought the property as a vacation property and for rental income. People were interested in looking at property even before we listed it so we signed a lease In March for October even before we listed it. So can I use March or October for placed in service.
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Can I use the date the contract was signed (March) as the placed in service date for depreciation or must I wait until October when they occupied?
If you are referring to a rental property, the date placed in service is the date it was available for rent. If you bought it in March, and had it ready to rent on May 1, then May 1 is your date placed in service. It doesn't matter that it wasn't rented/occupied until October. If the property was not available to be rented and occupied until October 1, then that would be the date placed in service.
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Can I use the date the contract was signed (March) as the placed in service date for depreciation or must I wait until October when they occupied?
If you are referring to a rental property, the date placed in service is the date it was available for rent. If you bought it in March, and had it ready to rent on May 1, then May 1 is your date placed in service. It doesn't matter that it wasn't rented/occupied until October. If the property was not available to be rented and occupied until October 1, then that would be the date placed in service.
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Can I use the date the contract was signed (March) as the placed in service date for depreciation or must I wait until October when they occupied?
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