All Forum Posts by: Angie Oshea

I have purchased a property for $10,000 when in actuality the property is worth over $250,000.  How do I figure out the land vs. building value for depreciation on my taxes?  There is not assessment because the property was owned by non-profit before purchase. I understand I can only depreciation the building value but how do calculate that portion of the $10k?  The assessor will assess it this year because it will not be under the non-profit ownership anymore but that figure will be far more than I paid.

We are renting the attached vicarage/rectory out as we remodel the rest of the building.  I assume the IRS doesn't descriminate re: what part of the building is being repaired...?

Thanks so much for your thoughts on this Sean.  I like your idea about renting it to the nonprofit - it's worth a conversation to see if they would give a tax break.  I'm not sure what the likihood of that is.  The other disadvantage to putting it into a nonprofit is that I won't get to count all my expenses as rental income deductions, which are significant while we are remodelling.  

I am a landlord with a few rental properties and recently acquired a church with an attached house (rectory) which is on the national register.  I have rented the rectory out to help pay the significant expenses of remodelling/utilities/etc.  I had planned to put the building into a non-profit because we intend to use it for retreats and community space and would like to avoid the realestate taxes as well as accept donations and grants for the restoration of the church.  However, I am afraid of putting the church into a nonprofit for fear of loosing the building if the nonprofit dissolves.  I am not concerned with the ability to sell the building - we intend to keep it forever or give it back to the episcopal church eventually.  I am thinking perhaps what we want is a family foundation?  Any idea on best way to do this are welcome.  We have contacted a couple accountants but this seems to be a specialization most don't have.