tax depreciation on co-ops

[Alex K.]

My understanding is for resedential units and condos it would be SL for 27.5 years however for coops the formula is a bit different.

Would anyone be able advise on how this is calculated? I read some stuff on the IRS website, but I found it confusing.

[Paul B.]

I assume you've been here:

IRS Link on Depreciating Coops

[Alex K.]

Yes I have that is actually the only literature I have been able to find online. I am confused, though - once you come up with the initial calculation, over what period of time do you depreciate the amount?

[Alex K.]

anyone?

[Account Closed]

The reason this is more difficult is that you own stock in a corporation than a full ownership of a piece of property.

Your actually depreciating your share of the corporations assets. The building would only be part of this. You will also be depreciating some office furniture, computers, etc all of which have different lives.

[Alex K.]

Per the IRS your ownership pirce is determined as your = price per share x (# of shares you own / all shares outstanding).

Not sure how you would depreciate after arriving at the above.