You'll need to sign in or create an account to connect with an expert.
You must recapture the depreciation taken or allowed even if the Sch E ran at a loss since you have a gain on the sale.
Rental property almost always operates at a loss "on paper". If sold at a gain, you will pay taxes on recaptured depreciation *no* *matter* *what*. Depreciation is not included in the 2 of 5 tax exclusion exception rule.
Still have questions?
Questions are answered within a few hours on average.
Post a Question*Must create login to post
Ask questions and learn more about your taxes and finances.
lixiang
Level 2
jrosarius
New Member
VAer
Level 4
user17525168329
Level 1
MWQ
Level 2