Depreciation recapture is the process by which the IRS reclaims tax benefits previously obtained through depreciation when an investor sells a depreciable asset for more than its depreciated value.
So, you’re a real estate investor accustomed to tax mitigation strategies and you are starting to think about your next big project. With that comes so many streams of thought — location, timing, ...
Maximizing cash flow is always the goal for real estate investors. But many are leaving cash on the table by opting for standard depreciation instead of bonus depreciation for qualifying properties.