RV repair costs

[Florida_EA]

RV cost $100,000 and has $5,000 of repairs related to AC. Is this expensed or capitlaized

[Dude]

Unless it is held out as a rental, used as a home office or business neither.

[Florida_EA]

It is used in a trade or business 100%. Can it all be expensed?

[Dude]

Depends on what each bill is totaled as, each cost if less than $2500 it can be expensed otherwise it must be depreciated.

[Lion]

Do they have financial statements and a written policy, giving them a $5,000 de minimis safe harbor? If not, then Dude's post about comparing each item to the $2,500 safe harbor might work if the invoice(s) are itemized. Or, is the air conditioning expected to be repaired more than once in a 10-year period?

[New York Enrolled Agent]

It is used in a trade or business 100%. Can it all be expensed?

An RV used 100% in a trade or business? No taxpayer sleeping in the recreational vehicle? That would be surprising.

You don't give any facts so I can't tell you if this is anywhere near on point but I would take a look at TCM 2014-160.

[bo6810]

An RV used 100% in a trade or business? No taxpayer sleeping in the recreational vehicle? That would be surprising.

You don't give any facts so I can't tell you if this is anywhere near on point but I would take a look at TCM 2014-160.

The taxpayer probably rents them out, where I am, there are many business that rent out RVs.