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I purchased a house Jan 2018 remolded it and decided to keep it for my family as of Aug 2018, can I claim Section 179 deduction or just MACRS depreciation for 27.5 yrs?

taxes1
Level 1
 
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qbteachmt
Level 15

Personal residence = none of what you asked will apply.

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"Level Up" is a gaming function, not a real life function.

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qbteachmt
Level 15

Personal residence = none of what you asked will apply.

*******************************
"Level Up" is a gaming function, not a real life function.

View solution in original post

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taxes1
Level 1
Thank you I really appreciate it - The house was $345k and I put $205k of upgrade and so I’m not allowed any tax deductions - wow that’s disheartening.
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abctax55
Level 15
Why *should* the citizenship subsidize your ownership of a home ? - other than the ones that all ready exist (mortgage interest & property taxes)
Former Chump..umm... AllStar...This message was typed from 6 feet away so you can safely read it immediately.

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itonewbie
Level 15
Back to the basic.  All income from whatever source derived is includible as gross income unless specifically exempt or excluded.  Deductions and credits, on the other hand, are matters of legislative grace.  This is especially true for non-business-related expenses.  Capital improvements could still count as basis.  There's no loss here and it should be no surprise.
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Still an AllStar
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George4Tacks
Level 15

Keep track of all your costs to determine the basis when you need to use this publication https://www.irs.gov/publications/p523


ex-AllStar
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taxes1
Level 1
Thanks George
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qbteachmt
Level 15

It's not Disheartening. It's right there, in your Improvements. This is part of Asset Basis, now. Didn't it Improve that property? That isn't a Write Off; it's an Investment.

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"Level Up" is a gaming function, not a real life function.
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George4Tacks
Level 15
"That isn't a Write Off: it's a" HOME

ex-AllStar
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