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Aug 22, 2025 · Learn how Section 1250 impacts taxes on gains from depreciated real estate sales, including rules, examples, and key differences between property types.

In the case of a building (or a portion of a building devoted to dwelling units), if, on the average, 85 percent or more of the dwelling units contained in such building (or portion thereof) are units …

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Sep 8, 2024 · This article explains what unrecaptured Section 1250 gain is, how it works, and ways to calculate and offset it, with practical examples and strategies for minimizing your tax liability.

Aug 22, 2024 · Section 1250 property is depreciable real property used in your business or rental activity and held for more than one year.

Mar 12, 2025 · Section 1250 affects real estate investors and property owners who have claimed depreciation on their assets. It determines how depreciation recapture is taxed when a property is …

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Dec 22, 2024 · What is 1250 Recapture? Section 1250 recapture is the IRS process of taxing the portion of your gain attributed to depreciation on real property. Depreciation allows property owners to …

Section 1250 property which has an adjusted basis of $500,000 is sold for $650,000 after December 31, 1969, and thus the gain realized is $150,000.