Consolidator
Level 1

How do I adjust the basis of a rental property?

A client began renting his personal condo in 2015. At the time, I used the lower of his cost and the FMV of the property as the basis for depreciation. In his case it was his cost. The problem is that by mistake I have been depreciating the whole amount (I didn't subtract the value of the land).

Thank you!

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