Discussion:Demolition of rental property
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| Revision as of 19:34, 12 May 2006 Bobkim (Talk | contribs) (New Discussion) ← Previous diff |
Revision as of 19:39, 12 May 2006 Foxttron (Talk | contribs) (Are you talking) Next diff → |
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| {{ForumNewPost|UserID=Bobkim|Date=12 May 2006|Text=I have a client who has rental property in his corporation. He is going to tear down the house and build another on the same property. The book value of the house after depreciation is $300,000. His year end is 6/30/06 and he has a profit from sales of other houses of $250,000. He will tear down the house before 6/30/06 but will not start building until after 7/1/06. Could I write off the $300,000 less what the land is worth against the current profit or do I have to apply it against the cost of the new house. Thank you.}} | {{ForumNewPost|UserID=Bobkim|Date=12 May 2006|Text=I have a client who has rental property in his corporation. He is going to tear down the house and build another on the same property. The book value of the house after depreciation is $300,000. His year end is 6/30/06 and he has a profit from sales of other houses of $250,000. He will tear down the house before 6/30/06 but will not start building until after 7/1/06. Could I write off the $300,000 less what the land is worth against the current profit or do I have to apply it against the cost of the new house. Thank you.}} | ||
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| + | {{ForumReplyPost|UserID=Foxttron|Date=12 May 2006|Text=Are you talking about a write off of $300,000 because that is what the book value is today? | ||
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Revision as of 19:39, 12 May 2006
Discussion Forum Index --> Tax Questions --> Demolition of rental property
| 12 May 2006 | |
| I have a client who has rental property in his corporation. He is going to tear down the house and build another on the same property. The book value of the house after depreciation is $300,000. His year end is 6/30/06 and he has a profit from sales of other houses of $250,000. He will tear down the house before 6/30/06 but will not start building until after 7/1/06. Could I write off the $300,000 less what the land is worth against the current profit or do I have to apply it against the cost of the new house. Thank you. | |
| 12 May 2006 | |
| Are you talking about a write off of $300,000 because that is what the book value is today? | |
