Is installation of new roof IRS tax decductible?
Inatalled a new 30 year roof on house this year. Can any of the cost be reported as IRS tax deduction under home improvement?
Public Comments
- Home improvements to your personal residence are not deductible.
- No, that is never deductible. However it can be used to increase your cost basis and therefore reduce any gain and therefore any tax due upon sale should any tax be due when you sell.
- If this is on a personal use house, no, just keep track of the expense (keep your receipts and canceled checks.) If will add to your cost when you sell the home, reducing what you might have to pay in capital gains tax. If this is a house you are renting out, then yes, the roof gets depreciated over the next 27.5 years. It's part of your expenses on your schedule E.
- Replacing a roof or other such repairs are never tax deductible. If you had insulation work done in conjunction with it, there could be some small energy tax credit available. And such work does NOT increase your cost basis in the home. It is "repair" not "improvement." Improvements would be house additions, installing a swimming pool, etc.
- If it was a metal roof designed to cut down on energy use (these aren't cheap), there's a tiny $500 credit available.