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welcomeyounow
New Member

If I added a new air conditioner to my rental property, do I enter that in the Expense section, or the Assets/ Depreciation section?

 
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MinhT
Expert Alumni

If I added a new air conditioner to my rental property, do I enter that in the Expense section, or the Assets/ Depreciation section?

In 2016, the de minimis safe harbor election allows you to expense any item costing $2,500 or less.

https://www.irs.gov/businesses/small-businesses-self-employed/tangible-property-final-regulations

If your unit costs $2,500 or less, you can enter it in the Expenses section. If it costs more than you enter in in the Assets/Depreciation section.


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1 Reply
MinhT
Expert Alumni

If I added a new air conditioner to my rental property, do I enter that in the Expense section, or the Assets/ Depreciation section?

In 2016, the de minimis safe harbor election allows you to expense any item costing $2,500 or less.

https://www.irs.gov/businesses/small-businesses-self-employed/tangible-property-final-regulations

If your unit costs $2,500 or less, you can enter it in the Expenses section. If it costs more than you enter in in the Assets/Depreciation section.


**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

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