Hello, I was gifted a commercial rental property on 9/1/2021 and I had a couple questions after reading information on how to set up this asset in turbo tax for depreciation.
My understanding is the gift recipient's cost basis is the gifter's original cost basis minus the depreciation the gifter had taken up to the date it is gifted. So if the giftor had a initial cost basis of 900K ( $526,436 Building , $373,564 Land) and had paid a total of $66,834 in depreciation up until the date the property was gifted (9/1/2021), would the recipient's cost basis for depreciation be $833,166( 459,602 Building, 373,564 Land)?
Also, when setting up this asset for depreciation in TurboTax it asks twice when the property was purchased or acquired and once when the property was first used for business. The property was gifted on 9/1/2021, would that be the date for all three fields for me or because it was gifted do I need to enter the date the property was purchased by the giftor ( 4/16/2017) for any of these values?
Thank you!
