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Updated over 3 years ago,
Has Anyone Utilized 100% Bonus Depreciation for Tax? Thoughts?
Hi All! - Has Anyone utilized Bonus Depreciation on their rental property? - Did you use a Cost Segregation Study or did you do it yourself?
A bit of background: Generally with real estate.. you deduct the loss of an assets value over a span of 27.5 years (straight line depreciation) - However, In 2017 - The IRS put in place "100% bonus depreciation" - allowing us to write off / deduct some assets at 100% in their First year- From what I understand, the rule of thumb for depreciation is 20% of the homes value (not land)
This can be advantageous tax wise if done correctly. Unfortunately, I don't know anyone who has used it. If you have utilized it - any feedback would be appreciated =)