The Money Mustache Community
Learning, Sharing, and Teaching => Real Estate and Landlording => Topic started by: andysandp on November 26, 2019, 01:23:41 PM
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I read if I use the Safer Harbor for Small Taxpayers deduction, I could write off a new heating system in 1 year, as long as the repair total for the year is $10,000.
Is this true?
The unit is worth about $600,000, so $10,000 is the maximum amount you can write off.
Has anyone used this SHFT deduction?
Thanks!
-
I read if I use the Safer Harbor for Small Taxpayers deduction, I could write off a new heating system in 1 year, as long as the repair total for the year is $10,000.
Is this true?
The unit is worth about $600,000, so $10,000 is the maximum amount you can write off.
Has anyone used this SHFT deduction?
Thanks!
All the time. We're a CPA firm!
Here's a post from few years ago when the tangible property regulations were coming out (these regs, called the TPRs, create the safe harbors)
https://evergreensmallbusiness.com/small-businesses-and-the-new-sec-263-repair-regulations/
BTW the description of the $10,000 small business safe harbor is accurate in the blog post... but that $500 de minimis safe harbor got bumped up from $500 to $2500.