Make Those Needed Improvements Now
This time of the year business historically slows down for
contractors, and given today�s economic malaise it�s a great time to
barter for needed services to fix up your property.
Because repairs don�t materially add to the value of your property
or prolong its life, repairs are immediately deductible. And they
would include the following:
painting, both interior and exterior
fixing leaks and repairing the damage they caused
cleaning the exterior of a building (when the work doesn�t prolong
the building�s life)
patching a roof
shoring up a foundation to prevent its collapse
fixing the deteriorated surface of a sidewalk, driveway, or parking
There�s going to be a flurry of activity in this area, so don�t
delay in contacting your trade exchange to see what you can get in
the way of painting, plumbing, electrical and roof repairs. Then
decide how you�ll handle the repairs for tax purposes.
If business is slow now, or you�re starting up and have no income,
you may want to spread out the deductions to future years when you
expect to be in a higher tax bracket as deductions would be worth
more to you then. Most of the time, however, you�ll want to take the
write-offs as fast as possible.