PatriciaV
Expert Alumni

Investors & landlords

You have the option to capitalize carrying costs (including interest) as part of the basis of the property. Otherwise, the costs are deductible in the year they are paid.

 

For more info, see How do I make an election in Section 266 to capitalize the taxes paid to the basis of vacant propert...

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"