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R. Klein, EA
R. Klein, EA, Enrolled Agent
Category: Capital Gains and Losses
Satisfied Customers: 263
Experience:  Over 20 Years experience in resolving tough tax cases
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I need some professional guidance on potentially selling my

Customer Question

I need some professional guidance on potentially selling my home.
Home was bought in 12/2005 as Primary Residence for $720k
Lived in that home till 09/2011. Moved to new PR in 09/2011.
I had to move 75 miles away due to job change in 08/2012.
Converted it to investment property in 07/2012, at FMV of $500k. The home was empty for 09/2011 through 07/2012.
For 2012 taxes, took pro-rated depreciation on a structure valued at $250k.
In 05/2013, a bank forgave the HELOC balance of $155k.
For 2013 taxes, reduced the basis of structure by $155k and took depreciation on $95k.
For 2014 taxes, took depreciation on $95k.
For 2015 taxes, will continue the same path as 2014.
I am contemplating selling the home in 03/2016 at $675k. I am unable to figure out if that would mean significant capital gain from $500k FMV and/or I will be able to take pro-rated capital gains exclusion for period 04/2011 to 09/2011, or it will be a small gain of 110k=675k-565k (which is 720k minus 155k), or anything else. of course I understand I will have to include depreciation recapture into calculation either way.
Any guidance is appreciated.
Submitted: 1 year ago.
Category: Capital Gains and Losses
Expert:  PDtax replied 1 year ago.

Hi from Just Answer. I'm PDtax, and can assist, but the price posted is low for the analysis.

I will post an Offer for a small price bump.
Accept, and I can assist today.

Customer: replied 1 year ago.
Sorry, that is too much for me. Can you please unlock my question?Thanks,
Expert:  PDtax replied 1 year ago.

Consider your request open for other experts.