I talked to her today, and she was very appreciative.
I appreciate receiving the encouragement!
I talked to her today, and she was very appreciative.
I appreciate receiving the encouragement!
Lol - you haven’t met my dumb cousin. Because that’s about what she did when she recently remodeled her primary bathroom.
However, she (unlike my sil) is an excellent record-keeper, so will have no need to go with, “customary and usual,” estimates since she will have, “ridiculous and wasteful,” documentary proof.
If needed, retroactive appraisals can be done to ascertain any needed step up of basis.
I’ve kept every paper from our home improvements when we bought our current house in 2012. But we bought the house knowing we were going to make lots of improvements – kitchen, three bathrooms, huge deck outside, firepit, hot tub. In the nice weather, it’s like a resort outside.
Of course, I live in New England, so we need to wait for that nice weather. . . .
Our house has tripled in value since we bought it in 1998. I’ve started assembling a spreadsheet and the documentation for capital improvements. HVAC, appliances, new roof, new windows, new shed, tree removal… I’m compiling more than what would likely qualify because it’s easier to add it now than for us (or one of us) to have to assemble this info down the road. I’m the one who deals with most of this stuff anyway.
Pub 523 is the guide you want.
I assume that she is not in a community property state?
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