Confused about a rental property with large repair expenses that was sold in the same year

[jlamberth75]

I'm having a difficult time figuring out what to put and where.

I had a house that I was renting to someone at the start of 2022 (the house was converted to a rental in late 2021). While the house was being rented in 2022, I had to replace the sewer line which cost about $36k all said. 
The renter ended up moving out and I sold the house in 2022 as well.
So, I'm trying to figure out how to report all of this. Depending on what I put where, my refund varies between $600 and $5000. Obviously, I would love the biggest refund, but I also don't want to report incorrectly.

Anyone have an answer?

[Mike9241]

the amount is far in excess of the De Minimis safe harbor amount and the Safe harbor election for small taxpayers.

thus other rules apply

What is the facts and circumstances analysis for distinguishing capital improvements from deductible repairs?
Step 1 – What is the unit of property to which you should apply the improvement rules?
For buildings – The unit of property is generally the entire building including its structural components. However, under the final tangibles regulations and for these purposes only, the improvement analysis applies to the building structure and each of the key building systems. 

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Step 2 – Is there an improvement to the unit of property, or in the case of a building, the building structure or any key building system, identified in Step 1?
A unit of tangible property is improved only if the amounts paid are:

To restore the unit of property; 

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What are amounts to restore a unit of property?

Replacement of a major component or substantial structural part – Amounts paid for the replacement of a part or combination of parts that make up a major component or a substantial structural part of the unit of property;

Therefore, I conclude that this is a capital expenditure and not eligible to be deductible as a repair