Hello, I own a duplex, owner occupied and am currently renting the other unit. I am aware that repairs that are inside the rented unit go to Schedule E, but what about:
1)a leaking fireplace? The repair has to happen outside of the rented unit (aka roof and chimney) for the inside leaking to be fixed.
2)painting/repairing exterior window frame?
Thanks!
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Hi Yuuuuuu,
For repair/maintenance expenses for the whole building, recommend you to use a reasonable, consistent allocation method. A good measure would be the square footage of your home unit vs. rental unit. And document the calculations.
Hope the above helps.
Treat the duplex as 2 separate units ... a repair on the rental side goes to the Sch E or added as an asset on the Sch E. So replace/repair a window on the rental side it goes to the Sch E. Now paint the entire duplex, or roof the entire building then you need to allocate the cost accordingly. If both sides are the same size then dividing the cost 50/50 would be understandable.
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