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Level 1
posted Jun 6, 2019 1:01:06 AM

I installed a new boiler in a rental property last year for $14,000. I am selling the building and prefer to expense this not depreciate it. Is this an option?

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1 Best answer
Intuit Alumni
Jun 6, 2019 1:01:07 AM

No this is not an option.  The new boiler is a capital improvement and cannot be expensed, it needs to be depreciated.  The cost of the boiler will be added to your adjusted cost basis for your rental property

3 Replies
Intuit Alumni
Jun 6, 2019 1:01:07 AM

No this is not an option.  The new boiler is a capital improvement and cannot be expensed, it needs to be depreciated.  The cost of the boiler will be added to your adjusted cost basis for your rental property

Level 1
Jun 6, 2019 1:01:09 AM

thanks.  Not the answer I wanted to hear of course but it was the answer that I thought I would get Thanks for confirming

Level 3
Jun 6, 2019 1:01:11 AM

follow up question - if I can - when I sell the building what improvements can I use to adjust my cost basis? ONLY capital improvements ( ie things that were depreciated)  If I did improvements that were not depreciated but I have receipts, can I use these to adjust the cost basis also?