Depreciation recapture rate + offset from capital losses

[Stacy Tring]

Hi all,

Spent all morning trying to research this and get conflicting answers, so let's try the BP hivemind.

1) Is depreciation recapture ALWAYS taxed at 25%, or is it taxed at your ordinary income rate UP TO 25%? I've seen conflicting answers, but  I get the sense that it used to be 25% always but changed at some point to being taxed at your ordinary income rate?

2) Can you use OTHER capital losses (from other projects unrelated to the property being sold) to offset the depreciation recapture on the sold property? I know that if you had a loss on the property being sold, there is no gain or recapture to tax. But what if I have other properties that generated a capital loss?

Thanks in advance!