I have gotten different answers on this... I ended up reporting it on Sched C. But, after a subsequent conversation, it seems better (next time) to use Inventory and Cost of Goods Sold for rehabs. After all, that is what it is, I think. Yet, I do not understand the tax treatment of such. I have not thought of including it as an Investment, as you say, but that now sounds better ! What is the tax treatment of the Inventory vs. Investment treatment? It seems there are many ways to handle these ! THANK YOU !
