In Example, 9.9, the IMPORTANT POINT to emphasize is that 27.5 year parameter is a constant for determining MACRS for REAL PROPERTY TAXES. The rest of the solution may be followed as explained. EXAMPLE 9.9 MACRS for Real Property On May 1, Jack Costanza paid $100,000 for a residential rental property. This pur- chase price represents $80.000 for the cost of the building and $20.000 for the cost of the land. Three years and five months later, on October 1, he sold the property for $130,000. Compute the MACRS depreciation for each of the four calendar years during which Jack owned the properly