the IRS publication certainly says that no depreciation if acquired and disposed of in the same year. however, I believe that the publication does not speak the whole truth. I believe and tax professionals I have conferred with in other years say that rule doesn't apply to property depreciated using the mid-month convention. I know that when I put real property into TT acquired and disposed of in 2019, depreciation is calculated. the same result was obtained when I used Drake Pro Software.
the explanation I got from the pros was that REG 1.168(d)-1 only deals with half-year and mid-quarter property - not mid-month.
basis 275000 acquired 1/12/2019 sold 11/30/2019 1/2 month for January and November + 9 months for Feb to Oct = 10 months. full year would be 10,000 10 months (10/12) would be 8333 which is what TT and Drake calculate. the 4797 shows the depreciation also.
