Yes, a water well generally has a 15-year depreciation schedule and is eligible for bonus depreciation as long as it remains a rental. If you decide to convert your rental into a personal residence, if you sell your house, the depreciation that you claimed will need to be recaptured at the time of the sale.
Your tax strategy at this point is if you plan on selling your house sometime in the near future, you may reconsider claiming the bonus depreciation and take regular depreciation based on the 15-year recovery period. There will be less depreciation to be recaptured in this instance. Just an FYI here.
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