Can I deduct an appliance extended warranty "service plan" for my rental property?

[bacaj1202]

Hi,

I purchased a 3 year extended warranty plan for my dryer in my rental property. It is called a "Whirlpool service plan." I started renting my property mid-year last year. I wanted to know if I could deduct the portion of which it was rented out (186/365 days or 50.96%) of the service plan? I saw that home warranties were tax deductible, but I wasn't 100% sure if appliance warranties are included in that.

Thank you!

[MinhT1]

Yes, your appliance warranty can be deducted as a rental expense.

[bacaj1202]

Would it go under “maintenance and cleaning expenses”?

[AnnetteB6]

If you purchased the service plan after your property was converted to a rental property, then you can deduct all of the cost of the service plan.  Otherwise, you can prorate the cost.  It can be included under maintenance and cleaning or you could enter it as a miscellaneous expense where you can enter your own description and amount.  

@bacaj1202

[Anonymous]

there are many categories it could be shown as - as part of repairs and maintenance, or its own category  - service plan cost or warranty plan cost 

[Carl]

As you work through the rental expenses section, the *VERY* *LAST* *ITEIM* in that section is for miscellaneous expenses. That section is commonly used for reporting HOA fees. You can also include your warranty plan costs there too.

[Aldrich]

Where do I enter appliance service contracts costs for rental on the 1040?

[DianeW777]

This would be considered an expense for your rental activity.  Use the 'Miscellaneous' or Cleaning/Maintenance expense category for an extended warranty on your appliance.

First go to the menu panel on the left

1. Select Tax Tools > Tools (may have to scroll down) > Select Topic Search at the top > Type rentals > Go (see image below)
2. Select Edit beside your property > Scroll to select Add expense or asset > Scroll to either Cleaning/Maintenance or Miscellaneous and click the checkbox > Scroll to select Continue > Scroll to the expense you selected and click the Start button to enter your expense.