Skip to main content
February 28, 2024
Question

I replaced the garage door, one exterior door and the primary access door on my rental property. What rate should I use to capitalize the cost?

  • February 28, 2024
  • 1 reply
  • 0 views
No text available

    1 reply

    February 28, 2024

    In order to claim rental expenses, the expenditures should be current rather than capital. An expense that simply restores a property to its original condition is usually a current expense. For example, the cost of repairing wooden steps is a current expense. Conversely, the cost of a repair that improves a property beyond its original condition is probably a capital expense. You need to analyze whether the new hot water tank is better than the old one and is considered an improvement. 
     

     

    Please read this article to precisely assess your expenses 

    Current expenses or capital expenses as per the Canada Revenue Agency (CRA)

    Related Information:

    Rental Property Expenses as per TurboTax

     

    Thank you for choosing TurboTax.