Discussion:Recapture of depreciation for office use of home

From TaxAlmanac, A Free Online Resource for Tax Professionals
Note: You are using this website at your own risk, subject to our Disclaimer and Website Use and Contribution Terms.

From TaxAlmanac

Jump to: navigation, search

Discussion Forum Index --> Tax Questions --> Recapture of depreciation for office use of home

Vanaconner (talk|edits) said:

9 February 2006
Is a taxpayer required to recapture depreciation taken on a personal residence that was used for office in the home deduction. This property was listed in a bankruptcy in 2003 and was foreclosed on in 2005.

Riley2 (talk|edits) said:

9 February 2006
A foreclosure is a sale, so the answer is yes, the gain attributable to the depreciation claimed is recaptured if it was allowed or allowable. Of course, if he sold the residence at a loss, then no recapture is reportable.

Itisafact (talk|edits) said:

10 February 2006
the depreciation has to be recaptured since it would have been applied against income derived from the business use of the home portion. Had the building been rental in nature, then the depreciation would not be recaptured per sec 1250B.

Riley2 (talk|edits) said:

10 February 2006
No, the same rules apply to rental property.

To join in on this discussion, you must first log in.
Personal tools