Rental depreciation recapture and capital gains tax

[Tim Linford]

Doing some tax planning and was I was curious if anyone had insight on this scenario.  I am an "Active RE Investor" so I apply all my rental losses to offset my ordinary income as a " RE wholesaler".  (hope this is ok??)  My rental portfolio depreciation is upwards of 3 million. (I still carry mortgages so my rental cash flow is essentially 100% offset by standard repairs, maintenance etc) Combine this with my standard business write offs and I rarely pay any income taxes if at all most years.  My hypothetical is say for example I bought a rental today for 200k and in 10yrs sell it for 300k and over the 10yrs accumulate 100k of deprecation.  My basis in 10 yrs is100k so I now have 200k of deprecation racapture tax and capital gains tax due.  If in the same year I sell this rental I decide to take time off from wholesaling deals and my only source of income for the year is the profit from the sale of the rental will I be able to apply all the losses from my rental portfolio and regular business write-offs (total around 250k) so I effectively pay no tax on the 200k like I currently do with my wholesale flips or does the IRS treat capital gains tax and deprecation recapture differently in terms of business losses and write offs and I would owe the tax regardless of the amount of losses I have from the rentals and business.  Thanks in advance and I hope I explained things ok.