Which of the following real property could be subject to § 1250 depreciation recapture?
A) Property placed in service after 1986 on which straight-line depreciation was taken.
B) A building on which § 168(k) depreciation was taken.
C) Equipment on which accelerated depreciation was taken.
D) Land which was not depreciated.
E) a. and b.

Question

Quizplus · Accepted Answer

Section 1250 depreciation recapture applies to real property, such as buildings, where accelerated depreciation methods were used. § 168(k) allows for bonus depreciation, which can trigger recapture under § 1250 if it exceeds straight-line depreciation.

Which of the Following Real Property Could Be Subject to §