Depreciation Recapture Is the Bill People Forget
It is taxed at 25%, it is separate from capital gains, and on a long-held rental it is frequently the largest line on the return.
July 28, 2026 · 8 min
Section
1031 Exchange Tax Mechanics
Boot, basis, recapture and the arithmetic that decides what a deferral is actually worth.
2 articles
Boot: The Quiet Way a Deferral Turns Taxable
Most partial tax bills in an exchange are not caused by a missed deadline. They are caused by boot, and usually nobody mentions it until filing.
July 21, 2026 · 9 min
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