Depreciation
50% GO Zone Bonus Depreciation | Property Depreciation Tax Deductions
The Gulf Opportunity Zone Act established a 50% bonus depreciation allowance as a tax incentive to rebuild the economies devastated by hurricanes Katrina and Rita. To qualify for the bonus depreciation, the property must be listed within the GO Zone, new, acquired after Aug. 27, 2005, and placed in service before Dec. 31, 2008.The 50%... »
Closing Costs, Property Depreciation | Maximize Real Estate Tax Deductions
You can maximize your property basis by accounting for closing costs, which will save you more money because you get to deduct more than you already do (assuming you don’t already account for closing costs). By increasing your depreciable basis, you enable yourself to take larger depreciation deductions, which results in a lower taxable liability... »
Death, Taxes, and Property Depreciation | Tax Deductions, Tax Planning
A wise man once told the world that there are only two certainties in life – death and taxes. It doesn’t take a genius to figure that one out (sorry Benjamin Franklin). Some people will unknowingly travel a great distance to elude one or the other. One of those individuals is my... »
Depreciation – Rental Income Tax Deduction IRS Form 4562
By maximizing depreciation deductions, you minimize taxable liability and save money on taxes. Since you cannot immediately write-off the purchase cost of investment property, you must deduct the acquisition cost over the life of the property using depreciation. Most rental owners are able to turn profits after collecting rent and paying rental expenses, so depreciation... »
Loan Amortization, Loan Costs | Tax Deductions
You should deduct all of your loan costs to maximize your tax savings. Unlike title charges, loan costs do not add value to your property, and therefore must be must be amortized over the life of your loan (and not depreciated with the property basis.) To find out your yearly amortization deduction, add all the loan... »
Segment Property Depreciation, Accelerate Real Estate Tax Deductions
Save thousands of dollars by segmenting depreciation deductions. Identify your property’s short life assets so you can depreciate them sooner, and by accelerating your deductions you can save money on taxes. People normally depreciate their properties using a straight-line deduction over 27.5 years, so for a property with a $275,000 basis, you can have a... »
