Thought You Might Like This One

[Bird Legs]

Found this note in the papers of a tax return I am working on.
"In 2001 bought a rent house for $___________.
In 2006 sold it for $___________..
We have enough receipts for improvements & remodelling to offset the profit."
I gestimated what their tax liability would be and faxed them a letter telling them to
pay it by Monday and then get me some figures on the "improvements and remodelling".

[JohnH]

They're going to love the news

I'm betting you can't wait to explain the rules surrounding depreciation recapture and that little nuisance matter of depreciation "allowed or allowable".

[BOB W]

I hope this was a NEW client.............................

[joanmcq]

And lets see, all the possible income and/or losses from 2001-2003, closed years for now.....I charge for 3115s by the hour.