I inherited a rental that didn't receive a step up in basis due to tax amounts at time of death. It had 15 depreciable years left. Do I depreciate for 15 yr or 27.5 yr?

[Leonard]

The basis should have been stepped up when you inherited it to FMV why did this not happen ?

[noellelau100]

step up not allowed due to estate tax limits at the time the property was put into the trust.  just need to know now does the life of the building continue where it left off while it was in the trust or do i have to start it over like it's a brand new building even though i don't get a step up in basis?

[Leonard]

You will start a new depreciation schedule for 27.5 years starting on the date you inherited the property.  Also, any appliances in the rental property will start a new depreciation schedule using their fair market value when you inherited the property.