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Updated over 5 years ago, 04/20/2019
Getting primary residence ready 4 rent - tax deductible expenses?
My wife and I have lived in our primary residence for four years. In the next 8-12 months or so we plan to be moved into a different home and have this one rented out. We plan to sell it after 2-3 years of renting it out to take advantage of the zero capital gains tax on a primary residence. Currently we are doing a bunch of renovations to get the home ready for rent.
My question is, can the cost of improvements I am making now (flooring, paint, etc.) count as deductions against the passive income I will receive once the home is rented next year? As long as everything is documented, can I lessen my 2020 and 2021 taxes w/ what I am spending now?