Category

Real Estate

Type

Real Estate

2025 Limit

Residential: 27.5 yrs; Commercial: 39 yrs (straight-line MACRS)

2026 Limit

Residential: 27.5 yrs; Commercial: 39 yrs (straight-line MACRS)

IRC Reference

IRC § 168 / § 1250

Eligibility

Rental property owners

Notes / Description

Non-cash deduction that often creates paper losses. Subject to passive activity rules unless REPS or STR status met.