I talked to two different TurboTax EA today via Live Expert:
The first one told me to go ahead and apply Section 179 to the new kitchen cabinets and appliances.
Then when I got to Final Review in TurboTax, I got an error saying Section 179 cannot be used on Residential Real Estate (Items that would normally be depreciated over 27.5 yrs)
So I contacted Live Expert again, and the second EA told me that I cannot use Section 179 for kitchen cabinets. Is that right?
And he said I can just expense the appliances since it is under $2500 (i.e. I don't even need to bother listing it under new assets). Is that right?
I asked how many years to depreciate for bath vanity cabinet vs kitchen cabinet. He didn't know and after searching on Google, he said 27.5 for bath vanity, and just 5 years for kitchen cabinets. Is that right?
And I just realized, if kitchen cabinets is just a 5 year item per the second EA, then it is not residential real estate, which means ... I can use Section 179 to deduct it fully in a year?
Since I am getting different answers from different TurboTax EAs I am not confident of either answers. Thank you for your help here.
