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Incorrect cost basis on a rental property for 10 years. Didn't separate out the cost of land, and depreciation taken has been tad high per year. What is best solution?
Is it better to just let this continue on, and then deal with any additional tax liability when I sell it. I would rather fix the amount I am depreciating every year to reflect the amount still available to depreciate for the remaining 17.5 years, but amending 10 years of tax returns doesn't sound appealing either. I just don't want to over depreciate. I still have about 13.5 years before that would happen. Looking for the most straightforward and logical solution - and least painful. Could I fill out a form 3115, but not amend any returns? Any help is much appreciated.
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‎January 27, 2023
5:17 PM