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New Member
posted Mar 18, 2022 11:50:38 AM

How do I expense renovating and decorating a building I bought for my business last year?

We bought an old church and had to demo and rebuild into a pet grooming and boarding facility.  This includes buying material from hardware stores for walls, electrical and plumbing, and then we had to decorate of course!

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1 Replies
Alumni
Mar 18, 2022 11:56:37 AM

Much of what you describing would need to be capitalized and then depreciated.  Demolition costs, rebuilding, the electrical and plumbing.

 

Equipment separate from the building structure would be capitalized separately, and may be elected to be deducted outright under Section 179, or depreciated.  There are some limits to Section 179 deduction.

 

This link may help you

 

https://www.irs.gov/pub/irs-pdf/p946.pdf