Can renovations be capitalized, and what factors should I consider when deciding whether to do so?
Yes, renovations can often be capitalized if they significantly improve the property’s value or extend its life. Factors to consider include the cost of the renovation, its impact on property value, and local tax laws. Consult a tax professional to help make the best decision for your specific situation. Always keep future resale in mind!
Yes, renovations can be capitalized if they improve property value or extend its life. Consider factors like cost, longevity, and local tax rules to make right decision for your situation.