I sold my rental property last year. The property was bought in 2005 for 400k and sold in 2022 for 600.00. It has been rented for the last 6 years and the max depreciation allowed was 60k. I did my taxes using Turbo tax Premier. I got a huge tax bill. But what I noticed is that not only was the cost basis at 260k (200 + 60), the depreciation I took was added back to my income and taxed at 25%. I looked at some online forums and several articles on this topic and all of them say that if the depreciation recapture happens, the capital gains should be for 200k (not 260). Am I being double-taxed?
Thanks in advance.
