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Updated over 1 year ago,
Does Personal Use Preclude Using Cost Seg for W2?
Hi,
Would love some thoughts. Bought a property, had it STR for the entire portion of the year that I owned it, qualified for being materially involved, and got a Cost Segregation done. My hope was to be able to offset my active income with the Cost Seg, but I was told that I couldn't if I had used the property personally at all. I was up here when it wasn't rented (working on getting it fixed up and doing improvements and stuff) but I never blocked off my calendar for myself, just used times when it wasn't rented. Does that mean I can't count the Cost Seg deduction against my W2? (Kinda foils my whole plan, haha.)
Thanks so much for the help!
Mark