chenschuh
Level 3
03-26-2024
01:51 PM
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To simply it.
Client had a rental property, he paid for 100,000, 15000 for land; 85000 for house. After more than 28 year, the house all depreciated out. He converted this rental house to personal use.
After 2 years, he sold this house for 200,000. Do you recapture 85,000 and taxed at his tax rate. The rest is tax free money. Does that sound right? Or do you need to reporte capitalgain
200,000x.15%- 15000= 15000 capital gain ?
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