Hi BP community,I live in charlotte NC, and I am a W2 employee.

Although the legislative history is different, it's helpful in this situation to examine that case law body.I believe the courts today would agree with and implement a functional equivalence test that examines state law, the operating/partnership agreement, and defacto treatment and actions of the member/partner. 

here's the shortest version on my situation:1) bought a house for mom in 2005 - she lived there til 2011 (not nearly long enough) did not charge rent2) rented the house maybe 4  intermittent years between 2013 and 2018; filed taxes accordingly with 'income' and 'depreciation'3) lived in the house between 2018 and 2023 when I sold it: almost exactly 5 years to the day 4) cash (after closing) was @ $240kA friend suggested that I may need to repay depreciation? 

I got started with a live in flip and now on our third house hack.

The city pointed out their ordinances did not allow more than 3 unrelated people to live in a home.

Well if you live in a massive apartment building the debt that underwrites that building is likely a commercial loan wrapped into a security instrument.

I live in Bristol.  

I've got many deals from people that lived next to houses I have rehabbed. 

Hey Andre I live in Wr, operate a STR and a MTR in so I have experience working with the city quite a bit.Their website is pretty straight up with the information and calling the ladies who run the program have been pretty helpful too.

However, my CPA is telling me that since I live in the house, it doesn't qualify for this deduction.