Tom,
Thank you so much - especially for the quick response and for the pinpointed IRS reference. Follow on question clarification. I was suspecting that I might need to report the $500 as income. However, since the $500 Plumbing Contractor invoice/payment is for plumbing modifications (re-piping and additions that are permanently installed), is that technically an Improvement expense (vs repair expense) - that I would report as such (Improvement). I don't want to get in the weeds here, but would appreciate TT opinion that, even with that full disclosure, if there's still a reasonable argument to consider that as an expense (repair or maintenance), as I know that's way cleaner tax wise - full deduction same year vs depreciation schedule, multiple years. But if the recommendation is to report as Improvement, just wanted to know. Thanks in advance for your further review/reply. E.
