Home Cost Basis

[christine1]

Given I have just sold a rental and am learning how important cost basis adjustments are, I started collecting info on my primary home.  A few questions about that. 

We bought in 2002.   
Planned to upgrade, but never got around to it until...
House fire in 12/2005. 

• Now, forced to "upgrade"  we did some and more of the following:
  A new roof.
• Framed, built out and finished the interior rooms (drwalling and painting)
• Rewired and replumbed the house.
• Installed new HVAC system.  (Heat pump & air handler, incl ductwork)
• Installed all new fixtures. Kitchen cabinets and countertops, hard wood and tile flooring, plumbing fixtures cabinets and countertops, new windows, new doors (interior and exterior), all trim and molding.
• New well pump and holding tank, water filter, water softener, solar water heater, 32 solar panels.
• (In subsequent years, the solar water heater and panels were removed and replaced with a regular water water heater.) 
• 10 years or so later, I replaced 34 windows and all the interior and exterior doors with energy efficient ones.  I've taken the energy credits where applicable. 
• 15 years later or so, I replaced the well pump

So I'm sure there is more, but that's where I am right now. 

I guess my question boils down to how to address items already existing, but ruined by the fire?  Do the replacements go in as simple additions to the cost basis?  They're certainly not repairs.  I had a burned out shell after the fire, which we rebuilt within the same exterior footprint.   I can show what I received from insurance for many of the repairs and replacements.  I'm sure that must factor in. 
Into what field would the improvements be added?  (I'm wondering that on my rental sale, too.)

Thanks for your thoughts!

[RobertB4444]

Your cost basis needs to break down into the cost of what you are selling.  For instance, you are obviously not selling the 34 solar panels since you took them off the house and got rid of them.

So add in what you originally paid for the house.  Then add in all of the improvements and repairs after the fire.  Subtract all of the insurance reimbursement.  Then add in any improvements that are still in the house.  (The solar water heater doesn't get added in but the regular water heater that replaced it does.)

Tax credits that were offered to you for adding in windows and the like do not reduce your basis.  But a rebate would.  So if you got any kind of rebate credit from any agency or manufacturer you should deduct that from the basis of the property.

All of those are going to be math that you will do behind the scenes.  Save your receipts that prove the value and enter the total as the purchase price of the house.  So your improvements are just included as part of that total.