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Updated about 3 years ago,
Deprecation Recapture Tax Rate?
How do you determine the the tax rate for depreciation recapture? When you recapture the depreciation when you sell a property, is the recapture tax rate based on your ordinary tax rate at that given time? For example, if I have $100k in deprecation to recapture, and my ordinary income tax rate that year is 15%, would I pay $15k in tax? If I my tax rate were 0% would I pay $0? Is there a minimum and/or maximum depreciation recapture tax bracket?
Thank you in advance!