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Are these deductions?

Posted by chery2 (My Page) on
Sun, Feb 25, 07 at 22:47

We had four replacement windows installed in our new/old early '70s house in 2005. In 2006 we replaced the roof. Can we claim any of this?

chery2 in va


Follow-Up Postings:

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RE: Are these deductions?

I assume you mean: "Are they tax deductions?" The answer is no.

However, save the receipts. When you sell the home, you can add these costs in when establishing the "basis" of the house and this can possibly reduce the taxable profit, depending on the sales price. I sold a house two years ago that I had owned for over 30 years. I saved the receipts for all the improvements and several major remodels done over that time; when I added up all the costs, it reduced the amount of profit that was taxable by over $200K.

In general, if you sell your house, there is currently an exemption for a married couple filing jointly of the first $500K of profit from a home sale (presuming it's been your major home for at least 2 years). The saved receipts will only help if you exceed the $500K of profit exemption.


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RE: Are these deductions?

The IRS has new rules for 2006 energy credits. Your new windows came too early for them to benefit. If your roof is metal and you also installed new insulation in your attic, you may quality. Check out the IRS website - link below.

Here is a link that might be useful: IRS Energy


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RE: Are these deductions?

kee01-
Good point...I should have remembered that possibility.


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