Roof - Home Repair vs Home Improvement

[jojosmommy]

We recently replaced our roof. Does this go under home repair (expense all in 1 yr) or is this a home improvement (depreciate over 39 years). We made no structural changes just took off and repaired/replaced the old shingles.

I looked in Tom Copeland's record keeping guide but it wasn't clear enough for me. Just want to be sure.

THANKS!

[TomCopeland]

Roof

You can deduct a repair in one year, but a home improvement must be depreciated over 39 years. Sometimes the difference between the two can be hard to figure out.

Since you replaced all the shingles, not simply repairing or replacing some, you have a home improvement.

Sorry!

[jojosmommy]

In your book it says on page 121 that roof repair counts under the repair section to be deducted in one year. I am confused.?

Basically the 1100 repair we did amounts to a $28 depreciation (1100/39 years) before you factor in my time space which is typically 45%. Total tax savings (1100 x .45 /39 = $12.69). Am I right? I surely hope not but honestly who ever catches a break anymore.

[TomCopeland]

Repair

If you took off all the old shingles this is an improvement. If you only replaced some of the shingles this is a repair.

[jojosmommy]

My husband says he left 1 crappy old shingle on just for tax purposes. He says he will provide a ladder for any irs audit guy who would like to check it is still there. ::

I guess we will enjoy the 12.69 write off we get this year.