De-Minimis opinions please

[DonB]

I.m confused-- A residential rental with an unadjusted basis of $45,000 has a foundation repair for $1,500. This does not qualify under the Small Taxpayer Safe Harbor election (because it is greater than 2% of the basis), but does it qualify under the De minimis Safe Harbor election (under $2,500)? The more I read the worse it gets.

Opinions please--

[Kram BergGold]

No

This is neither a material, nor a supply so only the repair deminimus applies, sorry.

[Roland Slugg]

What you described is a straight repair, and neither the new Regs nor the de minimis election applies. it's not an improvement, a betterment, nor an adaptaion for another use. Repairs always have been and continue to be deductible.