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posted Jul 1, 2022 6:05:55 PM

Microfit Solar panels repair expense

Hi I already have my Microfit panels already set up as a business.  In 2021 I had to have them reinstalled and some repair work performed, in part to replace my shingles, but also had squirrel damage.  I am confused as to whether I should be claiming this as a capital expense. It was several thousand dollars(without the roofing cost).  For now I put the amount under repair and maintenance which has given me a negative number for 2021.

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1 Replies
Level 15
Jul 2, 2022 4:49:09 AM

You need to determine how much of the cost was a repair  or  a capital improvement on a business property ... 

https://www.irs.gov/businesses/small-businesses-self-employed/tangible-property-final-regulations