1. Home
  2. Taxes General Forum
  3. Schedule C Depreciation

Schedule C Depreciation

I was living abroad for the last 8 years and was renting out my home. Last year I had to replace the AC Unit and the total bill for that was $11000. This year I am back in my home. How much of the 11000 can I deduct? I am guessing that it would be a 7 year item so I could deduct approximately

1600. Or could it be classified as a repair and I write the whole 11000 off at one time? Also, I bought a really efficient unit so I could take advantage of the 300 dollar Federal Tax Credit for Residential Energy Efficiency. Can I take advantage of this if it was for rental property? Any advice would be appreciated Pat

> > > > > > > > >
Reply to
komobu
Loading thread data ...

It sounds like it is central air, so that becomes part of the structure of the property and is depreciated over 27.5 years for residential real estate. The residential energy credit is only for your primary home, so rental property doesn't qualify.

Reply to
bono9763

Without addressing the OP's question I will say that real estate rental activities are reported on Schedule E, not Schedule C.

Reply to
Bill Brown

BeanSmart website is not affiliated with any of the manufacturers or service providers discussed here. All logos and trade names are the property of their respective owners.