@GeorgeM777 wrote:
We agree with the prior posts in that your pre-rental expenses should be added to the basis in your rental property.
Who agrees and where is the authority for that proposition? Please don't provide a link to any IRS instructions as they are not authoritative.
If an item is chargeable to capital account, then it can be added to the basis. Otherwise, an election can be made to charge carrying charges (primarily taxes and interest) to capital account. Otherwise, the expenses are either deductible as ordinary and necessary or neither deductible nor added to the basis.
See https://www.law.cornell.edu/cfr/text/26/1.1016-2
