Welcome Guest. Register Now!  



Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 09-30-2010, 09:59 PM
Junior Member
 
Join Date: Sep 2010
Posts: 1
Depreciation of apartment property I didn't live in

Hello,
Thanks in advance for your advice.
For 6 years, I've owned the apartment I just moved into in August 2010. My nephew lived there the last 3 years. He didn't pay me rent. Can I depreciate this property for the lenght my nephew lived there? I paid 186k for the property and have been paying maintenance fees all this time.

Regards,


Alex



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #2 (permalink)  
Old 10-30-2010, 12:27 PM
Moderator
 
Join Date: Oct 2010
Posts: 5,258
" Can I depreciate this property for the lenght my nephew lived there? "----> Of course.You recover the cost of income producing property through yearly tax deductions. You do this by depreciating the property; that is, by deducting some of the cost each year on your tax return.
You can depreciate your apartment building over 27.5 years on a straight-line basis. Assume that you purchased the apartment on march 3rd of 2005 for $186,000, then in the first year your annula accumulated depreciation expenses is $186,000/27.5*10/12=$5,636.Your annual accumulated depreciaiton expanse is $186,000/27.5=$6,764 in the second year.



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply



Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Selling an inherited apartment martin1111 Capital Gains 3 08-24-2010 10:50 AM
Foreign rental property depreciation Rah_TT Rental Real-Estate 1 07-25-2010 08:15 AM
I live in De but will be working in NJ mdtoliver82 Delaware 0 07-05-2010 08:56 AM
Tax Implications? Live in DE, considering job in NYC thendrich Income 0 10-19-2009 12:52 PM
2nd residence/apartment rent deductible? hnickol Rental Real-Estate 0 08-19-2009 02:10 PM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning
 
 
 

» Recent Tax Q&A
No Threads to Display.