Electric improvement tax deduction?

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Electric improvement tax deduction?

I upgraded my electric service from 100 to 200amp. Can I claim this expense as a tax deduction?

2007-11-30 03:21:44 · 2 answers · asked by ? 2 in Business & Finance ➔ Taxes ➔ United States

2 answers

No. But keep the receipts - if you owe capital gains tax when you sell the house, it could be deducted then.

2007-11-30 03:25:32 · answer #1 · answered by Judy 7 · 4⤊ 0⤋

Improvements made to your home are not deductible, unless it is used as a rental property. If it is not a rental, then the improvements increase the basis (original cost) of the property. When the property is sold then your new/updated basis is subtracted from the sale price to figure any gain.

2007-11-30 06:20:37 · answer #2 · answered by Country Boy 5 · 0⤊ 0⤋