How Do I Deduct a Deck?

It's summer and time to enjoy your deck. If you repair an existing deck or build one that the children in your family child care use, you can deduct part of the cost as a business expense.

If the new deck costs less than $2,500 you can deduct it in one year. Multiply the cost by your Time-Space percentage.

If you are simply repairing the deck (painting, staining, replacing some boards, etc.) then you can deduct the cost of the repairs in one year, regardless of the cost. Multiply the cost by your Time-Space percentage.

If the new deck costs more than $2,500 then you must treat it as a home addition and depreciate it over 39 years.

However, there is one exception to the rule requiring you to depreciate a deck over 39 years. See my article, "How to Deduct a Home Improvement."

Tom Copeland - www.tomcopelandblog.com

Image credit: https://www.johnsonlumber.biz/blog/how-can-i-build-a-kid-safe-deck/