Posts Tagged ‘depreciation’

Computing rental depreciation

Friday, April 24th, 2009

Dear Tax Talk,
I’ve read a number of publications that explain how depreciation works for rental property; however, all the examples I have seen so far are covering situations when modified adjusted gross income (MAGI) is up to $150,000.
Here’s the scenario I am trying to figure out: The rental property was purchased for $800,000 (closing costs included). Depreciating over 27.5 years would be about $29,000 (more…)