Question

How to calculate the expense of re-roofing for home business ?

Forum|Forum|2 years ago
October 25, 2023
1 reply
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In case, I spent $13,000 to reroofing my house and 1/4 room for business use, how much can count as business expense ? thanks.

Ask the Experts - Extension - Sept 2023

evelynm

Hello:

The roof is a capital improvement to the home/home office and would be added to the Depreciation schedule - from there the home office allocation of 1/4th ie. 25% should calculate and be included as part of the depreciation expense on your home office deduction. The remaining 75% you would keep track of as an improvement that adds basis to your home to reduce the gain (if any) when you sell the home.

Here is a link for further details: https://turbotax.intuit.com/tax-tips/small-business-taxes/what-is-irs-form-8829-expenses-for-business-use-of-your-home/L7df8dDta#GoTo-Legitimate-business-expenses

Have an amazing day. Evelyn M (CPA 20+ years)I would love a thumbs up :) + Mark the post that answers your question by clicking on "Mark as Best Answer"