The replaster could be considered a repair. You can potentially expense the heater as well.
De Minimis Safe Harbor Election
This election for items $2,500 or less is
called the De
Minimis Safe Harbor Election. This
election is an option you can take each year that lets you write off items
$2,500 or less as expenses instead of assets. Expenses
typically reduce your income by a larger amount than depreciating an asset over
multiple years does. This means you could get a bigger refund.
If
you decide to take this option, a form called De Minimis Safe Harbor Election will show up in your tax
return. This election will apply to all your
businesses, rental properties or farms.
Here
are the rules you need to meet to take this election:
- You don't have
an applicable financial statement (most people don't).
- You have a
consistent process for how you record expenses and assets.
- You record these items as
expenses on your books/records.
- The cost of each item as shown on
your receipt is $2,500 or less.
