I contributed depreciated property to partnership. What is the palce in service date? Does depreciation life start over? How is this done in turbo tax? Why sign in to the Community? I contributed depreciated property to partnership…. June 4, 2019 6:25 PM I contributed depreciated property to partnership. What is the palce in service date?
What happens when a partner contributes property to a partnership?
If a partner contributes property to a partnership, the partnership’s basis for determining depreciation, depletion, gain, or loss for the property is the same as the partner’s adjusted basis for the property when it was contributed, increased by any gain recognized by the partner at the time of contribution.
How does depreciation work on an outside basis?
“Outside” basis is tracked by the partner and not the partnership. It retains its original cost and accumulated depreciation at the time of the asset contribution. The depreciation continues for the duration of its remaining depreciable life. “Inside” basis is tracked by the partnership and not the partner.
How is depreciation recorded on a rental property?
The asset itself is recorded under Rental Real Estate Assets (Depreciation). TurboTax will provide an estimated amount of prior depreciation based on your entries. If this does not agree with your records, you can override the estimate and type in the actual number.
What is the palce in service date for depreciation?
June 4, 2019 6:25 PM I contributed depreciated property to partnership. What is the palce in service date? Does depreciation life start over? How is this done in turbo tax? The property contributed is rental property. My understanding is that I add it on the depreciation form at net book value.
What is the property contributed to a partnership?
The property contributed is rental property. My understanding is that I add it on the depreciation form at net book value. I am unclear on if I have to start depreciating all over again or if I can depreciation over remaining life. June 4, 2019 6:25 PM I contributed depreciated property to partnership. What is the palce in service date?
When does a partnership result in ordinary income or loss?
If a partner receives money or property in exchange for any part of a partnership interest, the amount due to his or her share of the partnership’s unrealized receivables or inventory items results in ordinary income or loss.
