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Updated 9 months ago,
How to use a Cost Segregation Study DST
I don't think my tax advisor is claiming depreciation for two rental properties and I'm looking for some help from the BP community. I did a 1031 exchange in early 2022 from a single vacation rental I had into two DST's, each are 300 unit Apartment complexes offered by Capital Square. As part of the tax documents I received from Capital Square, they included cost segregation study for each property.
On Schedule E, I can see the rents received for each property along with the interest paid. There is also a line (Line 18) for depreciation expense or depletion. Is this where the depreciation expense should show up?
I'm going to call my tax advisor tomorrow and ask them but I'm not confident in their explanation so I'm looking for another opinion.
Thanks in advance and I appreciate the help.