ptax255
Level 7
12-16-2021
08:15 AM
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Hello, A client lived in the property for 3 out of the last 5 years and the property was rented the last 2 years before selling. She claims she was told by another accountant that the gain will be taxable. Is that correct? The tests to exclude the gain are all met. I believe the only taxable amount will be depreciation recapture?
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IRonMaN
Level 15
12-16-2021
08:25 AM
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If clients knew everything, they wouldn't need us. Usually most of their information comes from their barber. Maybe that other accountant is a barber moonlighting as an accountant.
Slava Ukraini!
ptax255
Level 7
12-16-2021
01:27 PM
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Probably, thanks for confirming.
IRonMaN
Level 15
12-16-2021
01:28 PM
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You betcha!
Slava Ukraini!