I've seen multiple articles, both on this forum and others that say that capital improvements for rental properties must add real value to the property (or extend the life of the property), such that if the property would be appraised it would appraise higher due to the improvement. One article said that the 2020 Instructions for Schedule E included such wording but I don't see it there: https://www.irs.gov/publications/p527. Is this wording about "adding real value" actually listed anywhere official or is it just an unofficial litmus test used by many rental property owners?
(Here are a few examples of articles making this claim:
-https://ttlc.intuit.com/community/investments-and-rental-properties/discussion/deducting-rental-furn...
-https://ttlc.intuit.com/community/rental/help/how-do-i-handle-capital-improvements-and-depreciation-...
-https://cozy.co/blog/the-differences-between-repairs-and-improvements/).
