We remodeled a portion that used to be our home and added 288 sq ft. we bought the home in 6/2018 and rented it in 1/2021. We sold in 2/2023. I it 2 separate sales?
I did depreicate it in Turbo Tax. The cost was $240,000. We only rented it for 1 ½ years. Do I pay back the depreciation or am I taxed on the depreciation. It was appraised at $180,000 by the city. Do I assign a percentage of the sale price, or use the $240,000 as the sale price? I wasnt renting it when we sold. There was a main house of 2250 sq ft, the ADU 700sq ft, a studio 280 sq ft , swimming pool and a big piece of property. How do you find percentages for all that?
thanks, way over my head!
