Rental sale depreciation question

[jhwis]

Some of you guys have rentals. Owned a place for a few years and sold it January 2023. How do you figure the depreciation for that one month? Do I calculate the year's depreciation (3.636) and divide by 12 for January's amount? Or is there a difference decimal I gotta use? I can't find IRS clarity.... imagine that.

 

[Tony in SD]

That my friend is why I have and you should have a CPA. Unfortunately, there are way too many variables for us lay people to consider. Including the constant changing of the tax code.

 

[wheat straw]

Some of you guys have rentals. Owned a place for a few years and sold it January 2023. How do you figure the depreciation for that one month? Do I calculate the year's depreciation (3.636) and divide by 12 for January's amount? Or is there a difference decimal I gotta use? I can't find IRS clarity.... imagine that.

best money I ever made was investing in a CPA.

 

[jhwis]

Some of you guys have rentals. Owned a place for a few years and sold it January 2023. How do you figure the depreciation for that one month? Do I calculate the year's depreciation (3.636) and divide by 12 for January's amount? Or is there a difference decimal I gotta use? I can't find IRS clarity.... imagine that.

Thanks for the obvious, Fellas and to be fair...you aren't wrong. However, just looking for someone on here who probably has the answer as they've been through it. The question sounds more complicated than it really is.

 

[Duner Wi]

The difference between one twelfth and 31 days over 365 days is so close I'm thinking the IRS would not call you on it.

 

[jhwis]

The difference between one twelfth and 31 days over 365 days is so close I'm thinking the IRS would not call you on it.

Good point. Either way they get their money back with depreciation recapture.

 

[DRussell]

Some of you guys have rentals. Owned a place for a few years and sold it January 2023. How do you figure the depreciation for that one month? Do I calculate the year's depreciation (3.636) and divide by 12 for January's amount? Or is there a difference decimal I gotta use? I can't find IRS clarity.... imagine that.

I believe Russ from Minnesota on here is a CPA. He would likely know the answer. You might try messaging him directly via the forum. Not sure exactly how that works though.

 

[Dave H (MI)]

Some of you guys have rentals. Owned a place for a few years and sold it January 2023. How do you figure the depreciation for that one month? Do I calculate the year's depreciation (3.636) and divide by 12 for January's amount? Or is there a difference decimal I gotta use? I can't find IRS clarity.... imagine that.

Hi there! I responded to the note you left on my profile. If you don't see it let me know. You are fine with how you handled that...the IRS will not have an issue with it. Dave H (MI CPA)

 

[jhwis]

Hi there! I responded to the note you left on my profile. If you don't see it let me know. You are fine with how you handled that...the IRS will not have an issue with it. Dave H (MI CPA)

Yup, I responded in messages.