Discussion:SALE OF RENTAL PROBLEMS
From TaxAlmanac, A Free Online Resource
Note: You are using this website at your own risk, subject to our Disclaimer and Website Use and Contribution Terms.
From TaxAlmanac
Discussion Forum Index --> Tax Questions --> SALE OF RENTAL PROBLEMS
MRBARRYTAX (talk|edits) said: | 8 March 2007 |
| I inherited new client with sale of property. asset wksht has property depreciated since 1994 for $140,000. Obtaining the settlement pages, i discovered the true cost was $175,000 and no allocation for land. would it be okay to add the $35,000 to basis and compute the tax cosequences of the sale? | |
| March 8, 2007 | |
| I would treat the missing $35,000 as the land allocation, which is probably how it was intended when the depreciation began in 1994. | |
Death&Taxes (talk|edits) said: | 8 March 2007 |
| Exactly! More than likely the land was lost when another new accountant took over and began anew with new software. And don't forget if you find the original HUD-1 to put in the buying costs. | |
Death&Taxes (talk|edits) said: | 8 March 2007 |
| Is that an 'Old Accountant's Rule of Thumb," Kevin? | |
To join in on this discussion, you must first
log in.
