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Depreciation After 5/6/1997??

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E

Extortion

Guest
What is the name of your state? SC

I sold a property that was 1/3 residential and 2/3 rental in 2002. In reviewing Pub 523 I see, in their example of calculation of selling in the Business Use or Rental of Home, where they refer to exclusion and taxable gain where they have a line item "Depreciation after May 6, 1997."

Did something happen to change the tax law regarding handling depreciation at that time?

Does that mean I would only have to list the depreciation I have taken since May 6, 1997 (or was allowable) in my calculations to determine gain on the business portion of the sale?

I have had part of my house in rental since 1989.

Thank you for your assistance.
 


abezon

Senior Member
Yes, you only have to recapture depreciation claimed since 5/97. Depreciation of a personal residence from prior years is not recaptured.
 

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