Hello, and thank you to anyone who can reply,
I'm doing my elderly father's taxes and want to do them correctly, of course. He always did them before and I've researched a lot to try not to bother all of you at this hectic time of year but here I am with my apologies and thanks in advance. :( Here goes:
--In 2021, my parents sold a rental home they had owned since 1980. They lived in it first and then rented it starting in July of 1985. They never used it personally after that. My dad used the 19-year depreciation method so it's long been depreciated fully that way. Even if he'd used the 27.5-year method, it would have been fully depreciated by now. Would the amount of recapture owed differ based on the method used since the house would have been (was) depreciated either way? I want to be sure to pay the right amount.
Thank you very much for any guidance!
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Additional note: It was the 19-year, straight-line method.
Again, thank you!
No. The depreciation was fully recaptured, regardless of the method. By entering the 1985 date, the program will know how to handle the sale.
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