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Level 3
December 7, 2019
Solved

Can an S Corp claim depreciation on a home that is still in the client's name, but is solely used by the S corporation

  • December 7, 2019
  • 2 replies
  • 24 views
She lives in a different home, and the S corporation is a child care, the only issue I see is the home is the clients name and not the S Corp.
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Best answer by rbynaker

No.

2 replies

rbynaker
rbynakerAnswer
Level 13
December 7, 2019

No.

Level 7
December 7, 2019

I'll say MAYBE.  

Had she done the mere ministerial act of deeding the property to the S Corp as she intended all along, and fixes that soon, MAYBE an argument can be made. 

rbynaker
Level 13
December 7, 2019
Before we go rewriting history, it's generally regarded as a Really Bad Idea(TM) to put real property into an S Corporation.  Why not just have the S Corp pay FMV rent?  Then the owners can depreciate.