@Negaco wrote:
I have a condo purchased for my son which is rented to him at 60% of fair market value. I would rent it in the future at FMV if he ever moves out. I view this as a "not for profit rental" at this stage.
Actually, since you are currently renting the condo to a family member for below fair rental value, every day that you are doing so is considered a day of personal use. As such, no deduction for depreciation would be allowed or allowable.
Further, per Section 167, an allowance for a depreciation deduction is applicable only to property held for use in a trade or business or for production of income.
