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Can I deduct closing costs for a rental property

I bought a rental property...
I bought a rental property in 2006 and want to know if I can deduct the closing costs or if I have to include that as part of the depreciation.
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Answered in 6 minutes by:
3/27/2007
RD
RD, Certified Public Accountant (CPA)
Category: Tax
Satisfied Customers: 8,784
Experience: CPA, MBA, Over 10 yrs of experience in tax planning and business consulting..
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Most of the closing costs items except pro-rated county property taxes paid and the points paid will be capitalized and considered as cost basis for depreciation purposes.

You can deduct points paid and county property taxes as deduction.

 

Let me know if you have any question. Bonus and Feedback will be highly appreciated!!!

 

Please note: This advice is provided with the understanding that all the relevant facts have been provided by you. Any change in facts might affect the advice given and hence may not be relied on in such cases.

 

RD
RD, Certified Public Accountant (CPA)
Category: Tax
Satisfied Customers: 8,784
Experience: CPA, MBA, Over 10 yrs of experience in tax planning and business consulting..
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