Skip to main content
December 27, 2024
Solved

Depreciation Recapture On Home Office 2 Years After Initial Home Purchase Date

  • December 27, 2024
  • 1 reply
  • 0 views

In preparing for my 2024 tax return, I have a question regarding depreciation recapture.  I sold a home in 2024 which I initially purchased in 2018.  I started a consulting business in mid-2020 in which I operated out of my home and for my 2020 return, I filed using the regular method and took a partial year depreciation expense.  Now that I've sold the property in 2024, would I only report the actual depreciation I was allowed or allowable for 2020 forward and not any for 2018 and 2019?  It doesn't seem correct to have to report for depreciation for years 2018 and 2019 when I didn't have a business (Sch C) or take any depreciation deduction on my return.  I appreciate any feedback on this.  Thanks!

 
 
Best answer by Mike9241

There can be no depreciation recapture for 2018 or 2019 since there was no allowed or allowable depreciation deduction for those years.

1 reply

Mike9241Answer
December 27, 2024

There can be no depreciation recapture for 2018 or 2019 since there was no allowed or allowable depreciation deduction for those years.