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ibadinska
New Member

I noticed that the depreciation on my rental property is defaulting to 40 years and not 27.5?

 
2 Replies
rainydaze
New Member

I noticed that the depreciation on my rental property is defaulting to 40 years and not 27.5?

If you use the alternative depreciation system (as opposed to the general depreciation system), any property purchased after 2018 is depreciated on the 40 year timeline.  See IRS Pub 527, Table 2-1. MACRS Recovery Periods for Property Used in Rental Activities: https://www.irs.gov/publications/p527#en_US_2018_publink1000219071 (Follow the link to the section on Depreciation Methods and scroll down for the table).  

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Zbucklyo
Level 9

I noticed that the depreciation on my rental property is defaulting to 40 years and not 27.5?

If it a foreign rental, depreciation is 40 years.

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