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Level 1
posted Jun 1, 2019 5:54:13 PM

Do you have to recapture home office depreciation that has been carried over and not utilized at the time of sale?

I have a business operating at a loss for which I have been taking the home office deduction,and the depreciation has been carried over.  I sold the property in 2018.  Do I have to recapture depreciation that was carried over and has not been utilized? 

Does it move to my next home office? How?

Thank you!

0 2 351
2 Replies
Level 9
Jun 1, 2019 5:54:14 PM

No, it is not taxed if you were never eligible to use it.

It is not carried to your new home, it just disappears.

Level 1
Jun 1, 2019 5:54:16 PM

Poof!  It is gone.  Thank you!