What do I specify for the Cost, Cost of Land and Date purchased for my rental? It used to be my primary home and I only started renting it out last year.

[snooky911]

I can get the Cost of Land my looking at the tax assessments for last year. What about Cost and Date purchased? Should the date be when I originally purchased it many years ago? What cost should I specify? Thank you!

[KrisD15 · Accepted solution]

The date of purchase would be the date you purchased as your primary home. 

Date the rental was put into service would be the date it was available to rent.

Value of land would be the value when it was purchased unless it decreased in value. 

Cost for the building would also be the original price you paid unless the value decreased.

A rental is depreciated over 27.5 years. Depreciation is computed on the value/basis/cost. 

When a personal residence is converted to a rental, depreciation starts the day it is available to be rented, however the value/basis/cost is the lower of the Fair Market Value on the day it is available to rent or the amount originally paid. 

Usually, the amount originally paid is less, so that is what the depreciation should be based on.

The price you paid should not be difficult to get.

The value of the land can be determined by looking at a tax bill/assessment for the year purchased. If that is impossible, figure the average percentage of land to building value and use that ratio. 

Land does not get depreciated.