If a Rental (100% business use) was taken off market to sell, and rental activities (and therefor depreciation) stopped, but property did not sell for a long time, and the assets (had they had been d...
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If a Rental (100% business use) was taken off market to sell, and rental activities (and therefor depreciation) stopped, but property did not sell for a long time, and the assets (had they had been depreciated) would have eventually zeroed out on the books during the time the property was for sale, how should that be handled when property is finally sold? Example: 1/1/2000 - House purchased: $100,000 1/1/2009 - Asset (Back Deck) Acquired: $10,000 1/1/2023 - Rental activity (and depreciation) ceases as property is listed for sale, (Deck is still on books.) 1/1/2024 - Property still for sale, however, deck would have fallen off books, (due to 15 year life) 1/1/2025 - House finally sells: $200,000 I am thinking the recapture on deck would be left off the sale entirely as any depreciation recapture would be negated because of the age of the deck. Is that correct? - Not owner occupied/lived in - Thank you!