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Get your taxes done using TurboTax
No, you can not just add it to "Maintenance". In general, maintenance is something that you would do to maintain the rental unit at a basic level.
These massive renovations are capital improvements and will be added to your basis of your rental unit.
A capital improvement is something that actually adds to the value of the home or increases its usefulness. Some examples of capital improvements are:
- Remodels and room additions (including decks and porches)
- New or upgraded landscaping, irrigation, sprinkler system
- Hardscape such as pavement, block or retaining wall, patio
- Fencing
- Swimming pool, spa
- Storm windows, doors
- New roof
- Central vacuum or security system
- Upgraded wiring, plumbing, ductwork
- Central heating, AC, humidifier
- New furnace, water heater
- Filtration, soft-water, or septic system
- Built-in appliances
- New flooring or wall-to-wall carpeting
- Upgraded insulation
- Satellite dish
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‎February 16, 2022
3:42 PM