Thanks for your help! I just want to confirm I'm doing the correct basis for depreciation.
Parents bought house in 1978 for $71,387
Improvements w/receipts (probably more but don't have documentation: $18,622
At time of Daddy's death the FMV was estimated at $365,500. So his share is $182,750
The tax assessment for 2021 says $259,900
Value of land: $85,827
So I'm not sure whether to go with the tax assessment value as the FMV or what's on Zillow.
Please correct me if I'm wrong:
Adjusted basis would be 71,387 + 18,622 + 182,750 = $272,759 . This is figure to use for depreciation?
Also I wanted to confirm that I can just expense some items that cost less than $2500 using the safe harbor (I think) method. Example: $450 microwave, ceiling fans $1500, toilets $250/each. Can I just list them as repairs so I don't have to depreciate?
Thanks again for your expertise!
