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Cecilia30
New Member

Rental house renovation

I have done a $100K plus renovation of a rental house. Exactly how do I enter it into TurboTax? It gives three choices: residential rental property, appliances, etc, or land improvement. I want to enter only the total, not to break it down into individual expenses. When I choose residential rental property, TT asks for date of acquisition, asset category, etc. There is not just one specific day the components were purchased. Rather, they were purchased over the course of six months. I have already depreciated part of the cost of the original acquisition of the rental property. How do I add this renovation?

Thank you.

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1 Reply
MinhT1
Employee Tax Expert

Rental house renovation

You should add the renovation project as a new asset.

 

As this is a major renovation, it is considered part of the structure of the rental home and you would choose Residential rental property. The renovation will be depreciated over 27.5 years.

 

For the date of acquisition, I would use the date the renovation was placed in service, i.e. the date the project is completed.

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