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brad55
New Member

Excluding depreciation

I am airbnbing my old summer home and have more expenses than income. I want to not depreciate the property, can I just delete the depreciation section in turbo tax. I dont want to depreciate the cost basis that will be used to calculate my profit and taxes when I sell the property

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2 Replies
AnnetteB6
Expert Alumni

Excluding depreciation

Whether or not you claim depreciation on the property during the time it is being used as a rental, you will be required to take the depreciation into account when you sell the property.  It is not a choice that you can make.  

 

You can choose not to claim the depreciation, but it will not change the calculations when you sell the property.

 

 

@brad55

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Carl
Level 15

Excluding depreciation

You are required to depreciate the property by law. When you sell the property you are required to recapture all depreciation taken and pay taxes on it in the year you sell. If you do not depreciate the property, then you are required to recapture the depreciation you "should" have taken and pay taxes on it. So you can't win by not taking depreciation. It will cost you more in the long run if you don't depreciate the property.

 

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