Is new hardwood floor installation considered a repair or improvement for rental property?

[pearl12970]

As you can see below it prompts me to enter it as an asset ( please see blue button)

[pearl12970]

And once I enter it as an asset this is the next screen. I have no option to enter it an an expense.

[VolvoGirl]

Isn't there another button like on the bottom right to continue or done?  Just skip the add an asset.  And make sure to add it as an expense.  

[Anonymous_ · Accepted solution]

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@pearl12970 wrote:

And once I enter it as an asset this is the next screen. I have no option to enter it an an expense.

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Do not enter it as an asset. Enter it as expense.

Once you indicate everything you bought cost $2,500 or less (on that screen) you should be done.

Go back to Expenses and enter the cost in that section under Miscellaneous Expense.

[pearl12970]

Ah! Okay- now I get it. Thank you so much for clarifying.I appreciate it so much!

Is this the correct screen to enter it? 

[Anonymous_]

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@pearl12970 wrote:

Is this the correct screen to enter it?  

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Yes, that's the one.

[pearl12970]

It is so kind of you to patiently walk me through this. I would have definitely not realized this crucial step without your help.

I had also painted all the walls for which I paid for material and labor. What would get me a bigger deduction - if I include it here under Miscellaneous expenses or under "Repair expenses"?

[Anonymous_]

The deduction would be the same, but you could enter the painting expense under Repairs.

[pearl12970]

Thank you! For the hardwood flooring that I will put under Misc expenses- should I put 2 separate entries for $1359 and for $2000?  Both are for flooring but I have separate transactions for both amounts. Would it be okay to enter them as Flooring room 1 and Flooring room 2? 

[Anonymous_]

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@pearl12970 wrote:

Would it be okay to enter them as Flooring room 1 and Flooring room 2? 

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That sounds just fine and is how I would handle that scenario.

[pearl12970]

Thank you once again!

[Anonymous_]

You are most welcome!