Non-profit tenants are popping up all over, and CPAs are often confused about depreciation of these properties. We’ve gotten so many questions lately… How do I treat this tax-exempt non-residential real estate? MACRS or ADS? What about the associated tax-exempt tangible property? What are the appropriate class lives? Is Bonus in play at all? What about QIP?
Our new Flowchart for Tax-Exempt Use Property can help guide users through the decision-making process. The two-sided, color-coded layout makes it easy to distinguish non-exempt tangible property (orange side) and non-residential real estate (blue side). Then it’s just a matter of answering the questions and following the prompts. Like all our Tools, this Flowchart condenses a great deal of information and presents it in a straightforward, user-friendly manner. Click here to download a copy of the new Flowchart for Tax-Exempt Use Property.
Plus, for more on this subject, check out our latest podcast episode – “Depreciation and the Non-Profit Tenant: What’s the Scoop?” Click here to listen!
Have a question? Contact Bruce Johnson, Capstan Tax Strategies.