do we include the refinance fees from each instance when determining the cost basis for our home office? NO
do we include any and all capital improvements we've made since buying the home as part of the cost basis YES
Finally, how critical is it to find the closest matching Business Code on a Schedule C and can this code be changed from one year to the next without raising a red flag? Choose the best choice and stick with it going forward ... don't sweat this issue.
