I bought a house with cash, and did thousands in repairs, is there any way i can add said repairs in my deductions?

b-myles — Sat, 01 Jun 2019 03:16:44 GMT

If the house is a rental, then you'll be able to take a d...

ThomasM — Sat, 01 Jun 2019 03:16:45 GMT

If the house is a rental, then you'll be able to take a depreciation expense each year for both the house and the improvements.

If the house is personal property (either your primary residence or an additional home), then the total amount you paid for those improvements will be added to your "basis" in the property, which means it gets added to the purchase price of the home, thus increasing the amount you've invested in it. When you eventually sell the property, that increased basis will result in a smaller taxable gain. So the benefit of those improvements will appear when you sell the place.

There are also Residential Energy Tax Credits which you may qualify for if one or more of these improvements qualify as "energy efficient." Here's a link to the instructions for IRS Form 5695, which takes you step by step thru the requirements for these credits: https://www.irs.gov/pub/irs-pdf/i5695.pdf

Additionally, you may want to check your state web site to see if they also offer any kind of energy property credit.

topic I bought a house with cash, and did thousands in repairs, is there any way i can add said repairs in my deductions? in Deductions & credits

I bought a house with cash, and did thousands in repairs, is there any way i can add said repairs in my deductions?

If the house is a rental, then you'll be able to take a d...