topic What is the proper way to depreciate expenses to turn garage into home office for an LLC? There were permanent changes made to a one car detached garage. in Deductions & credits

What is the proper way to depreciate expenses to turn garage into home office for an LLC? There were permanent changes made to a one car detached garage.

kirillbylkov — Wed, 11 Feb 2026 10:34:31 GMT

Changes were installation of side door, split AC unit. I use this office as a place to conduct business for a partner LLC

Re: What is the proper way to depreciate expenses to turn garage into home office for an LLC? There were permanent changes made to a one car detached garage.

Anonymous_ — Sat, 21 Dec 2024 17:43:14 GMT

Re: What is the proper way to depreciate expenses to turn garage into home office for an LLC? There were permanent changes made to a one car detached garage.

kirillbylkov — Tue, 10 Sep 2024 15:51:42 GMT

Yes to both questions. Thanks!

Re: What is the proper way to depreciate expenses to turn garage into home office for an LLC? There were permanent changes made to a one car detached garage.

Anonymous_ — Sat, 21 Dec 2024 17:43:26 GMT

Re: What is the proper way to depreciate expenses to turn garage into home office for an LLC? There were permanent changes made to a one car detached garage.

kirillbylkov — Tue, 10 Sep 2024 16:15:50 GMT

Ah ok, I believe I misled you to think that I am trying to take a deduction on my personal tax return. I am only looking to expense the improvements for the LLC.

Re: What is the proper way to depreciate expenses to turn garage into home office for an LLC? There were permanent changes made to a one car detached garage.

Anonymous_ — Sat, 21 Dec 2024 17:43:35 GMT

Re: What is the proper way to depreciate expenses to turn garage into home office for an LLC? There were permanent changes made to a one car detached garage.

kirillbylkov — Tue, 10 Sep 2024 17:02:53 GMT

No, it didn't. I paid for them from personal funds

Re: What is the proper way to depreciate expenses to turn garage into home office for an LLC? There were permanent changes made to a one car detached garage.

Anonymous_ — Sat, 21 Dec 2024 17:43:45 GMT

Re: What is the proper way to depreciate expenses to turn garage into home office for an LLC? There were permanent changes made to a one car detached garage.

Rick19744 — Tue, 10 Sep 2024 18:02:24 GMT

This is going to be a difficult issue to address on a forum such as this, as there are way too many questions:

I haven't seen a definitive confirmation that this is a multi-member LLC (MMLLC)?
- This does make the issue "murkier" as noted below.
What does the operating agreement say in the way of reimbursement for member expenses?
Exactly what "business" is handled at your "garage"?
Was the change a necessity? No other option(s) before the change was done? Or one of convenience?
Unless the MMLLC required the change / update, it's going to be difficult.
- The garage is most likely not titled in the name of the LLC
- You personally paid for the garage changes
- Are you getting reimbursed for utilities? RE Tax (portion attributable to garage)?
Assuming the garage change was necessary and required, my recommendation is to have the LLC pay out a guaranteed payment; whether that's over time, in total, etc. Certainly this will be subject to tax, but that could be grossed up. I'm not sure I would be comfortable with any other method in light of minimal facts.
You may be best served to meet with a tax professional where you can have a one-on-one discussion with all the facts. This forum is not really conducive for this type of discussion.