2018 Mar 13, 10:22pm
1,366 views 4 comments
My question is... as long as I have atleast $35k in home improvement receipts. Which we do... is that enough evidence should the IRS come a knocking?
The cost of building or substantially improving a qualified home includes the costs to acquire real property and building materials, fees for architects and design plans, and required building permits.Substantial improvement.An improvement is substantial if it:Adds to the value of your home,Prolongs your home's useful life, orAdapts your home to new uses.Repairs that maintain your home in good condition, such as repainting your home, aren't substantial improvements. However, if you paint your home as part of a renovation that substantially improves your qualified home, you can include the painting costs in the cost of the improvements.
My question is how do they track that? For instance we have a $35k home equity loan.