When selling rental property, can I deduct improvement expenses that were made prior to renting it? The property was purchased in 1991 and has been rented since 2009.

[jimbmoss]

The improvements include new flooring, a concrete patio, patio cover, and a block wall. 

[Hal_Al]

Yes. Your cost basis is your original cost plus the cost of any improvements, over the years.

However, you also should have been depreciating those improvements, starting in 2009; either as individual improvement or as the total cost of the building. So,you will have to "recapture" the depreciation you claimed or should have claimed, while it was rented out.

[jimbmoss]

Thanks for your answer! Unfortunately, I did not think to depreciate those improvements. Any idea as to how I could still claim them without having to file amended returns for the last 10 years?

[Hal_Al]

No. And, you can only amend for three years (2016, 17 & 18).