con1732
New Member

Under the Safe Harbor Election for Small Taxpayers, does the term "the cost of all repairs, maintenance and improvements” include separately capitalized improvements?

For example, I have a rental property with two new assets, one for $8000 (siding) and one for $6000 (roof).  If I capitalize the $8000 asset, can the $6000 qualify for the safe harbor even though the total is more than $10,000?  If the term repairs, maintainance and improvements refers only to currently expensed items, I should be able to expense the $6000 item (assuming other requirements are met).  But if the term improvements also includes separetly capitalized improvements, I cannot.  Thanks!