Tuesday, December 20, 2011

United States Tax Question about Schedule E?

No, you and your boyfriend are expense sharing. This is not a rental situation. A new roof isn't an expense even if this was a rental - it's depreciated over years and you end up with a few dollars a year. In your case, the cost of your roof is added to the basis (your investment cost) of the house to help offset capital gains when you sell.

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