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…)
Posts Tagged ‘rental’
Figuring losses on rental property
Tuesday, March 24th, 2009 Dear Tax Talk,
I know about the $25,000 cap on net losses for rental property, and it’s my understanding that the $25,000 is per person, regardless of the number of properties I own. What happens if there is one rental property owned by two people? It doesn’t seem reasonable that the deduction is still $25,000 per person (for a total of $50,000 on one property).
— Bob (more…)