Recapture Tax Help

[Bruce L.]

Hi guys,

Had a few questions regarding recapture tax and was hoping someone could help.

1) Recapture tax is a federal rule/law and not at the state level correct?

2) Will you owe recapture tax when you sell your primary residence?

3) What is this about after 9 years, no recapture tax is due? Is that for both rental properties and primary residence?

http://www.wshfc.org/buyers/recapture.htm

I have a rental property that I've had for 10 years, purchase for $170k and sold for $160k. I was told that even tho I lost money, I would still owe recapture tax for the deprecation on the property for those 10 years, is that correct?

Thanks.