Can anybody help? I am a dual citizen German-American. I sold some property I owned in Germany. For that year 2011 in which I sold the property I had to do a Germany tax return because I also had other income (and because I was living in Germany at the time). Now I have returned to the US and was told that I have to pay US taxes of the selling of this German property, which was sold in Germany, to a German citizen. Considering the selling and buying price, I actually made a loss but now was told that I will have to pay US taxes because I took depreciation deductions in my corresponding US tax returns in the years before the property was sold. This does not seem right and I would be happy to hear where to turn to get solid advice. My American CPA has no experience with this and said I have to pay.