Do I enter under repair expenses?
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The money you spend on your home breaks down into two categories, taxwise: the cost of improvements versus the cost of repairs.
You add the cost of capital improvements to your tax basis in the house. Your tax basis is the amount you'll subtract from the sales price to determine the amount of your profit. A capital improvement is something that adds value to your home, prolongs its life or adapts it to new uses.
Installing brand new carpet and replacing all existing plumbing is Improvement.
Repairing existing plumbing or painting the room is Repearing.
Follow this links for additional info regarding Home Improvements and Your Taxes https://turbotax.intuit.com/tax-tips/home-ownership/home-improvements-and-your-taxes/L6IwHGrx6
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