I installed a new boiler in a rental property last year for $14,000. I am selling the building and prefer to expense this not depreciate it. Is this an option?

mbardshore · ‎June 6, 2019

Leonard · ‎June 6, 2019

No this is not an option. The new boiler is a capital improvement and cannot be expensed, it needs to be depreciated. The cost of the boiler will be added to your adjusted cost basis for your rental property

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mbardshore · ‎June 6, 2019

thanks. Not the answer I wanted to hear of course but it was the answer that I thought I would get Thanks for confirming

sfshore2 · ‎June 6, 2019

follow up question - if I can - when I sell the building what improvements can I use to adjust my cost basis? ONLY capital improvements ( ie things that were depreciated) If I did improvements that were not depreciated but I have receipts, can I use these to adjust the cost basis also?

I installed a new boiler in a rental property last year for $14,000. I am selling the building and prefer to expense this not depreciate it. Is this an option?

Investors & landlords

Investors & landlords

Investors & landlords