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Updated almost 5 years ago on . Most recent reply

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Andrew J Palmer
  • Spokane, Wa
3
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Write offs? First time with Real Estate

Andrew J Palmer
  • Spokane, Wa
Posted

This is the first year I have had Rental properties to report on my taxes and I'm not sure if my CPA did my taxes correctly.

Last year I bought a duplex in January. I lived in one unit while I preformed about 3k of repairs and maintenance to it. 

I bought a Single family home with an ADU in October. I rented out my unit in the Duplex and moved into the SFH. I spent 5k in repairs and supplies for a Short term rental in the ADU.

I got my return back and there is no mention of these expense anywhere. Is this correct? Could I not write off any of these expenses? 

Any help would be much appreciated Thank you.

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Natalie Kolodij
  • Tax Strategist| National Tax Educator| Accepting New Clients
4,438
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Natalie Kolodij
  • Tax Strategist| National Tax Educator| Accepting New Clients
ModeratorReplied

Unfortunately this is not really enough information. 

Generally renovations before a rental is in service (IE before you rented it) are added to the value of the house and depreciated. 

Some renovations can be separated out and expensed all at once so they don't have to be added to the value and depreciated over the 27.5 years- I would start by bringing it up with the CPA and asking them. 

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Kolodij Tax & Consulting

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