Can I charge my Sole-proprietorship business rent rather than taking the office use of the home deduction, or is this just a wash since it increases personal income
Just had to pay capital gains when i sold my home due the the depreciation from business use of the home. I want to avoid that in the future if I sell this new home.
01543
1 Replies
KrisD15
Expert Alumni
Feb 24, 2021 2:45:42 PM
A landlord also needs to depreciate, so it would end up being the same as claiming a home office. It would also be tricky to do legitimately.
Recaptured depreciation is taxed at your income tax rate, not as a Capital Gain.