What Is the Adjusted Basis of a Rental Property?

What Is the Adjusted Basis of a Rental Property?

KEY TAKEAWAYS

  • The adjusted basis of a rental property is a fundamental component for calculating taxation and can help you assess the financial performance of your investment.
  • The IRS uses your adjusted basis to determine whether you experienced capital gains or losses from your investment properties.
  • The adjusted basis is only used to calculate taxes after you’ve sold the property.
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Written by Bill Lyons