Landlord does not

[JON]

want to pay for a new furnace so the renter pays $3,700 for it. What depreciation method and life is available????

[BOB W]

want to pay for a new furnace so the renter pays $3,700 for it. What depreciation method and life is available????

The renter is not allowed to depreciate anything. But the renter should take the landlord to court to get reimbursed. I'm assuming the renter is not a business.

[erchess]

Maybe in NY

the landlord has to pay for a new furnace if one is needed but I bet even there he can make the tenant prove that the old furnace was not only not working but was beyond repair.

I am not a lawyer and I could be wrong but I believe that in NC unless the lease says otherwise, repairs and maintenance are at the expense of the tenant. I certainly have heard many horror stories of slumlords not taking decent care of their properties

[joanmcq]

Here in CA you have to provide heat, at least for residential properties. Not sure about commercial.

[Kram BergGold]

Depends

first I assume this is some type of business property.
See TTB page 9-20 for qualified leashold improvement.
If your client does not qualify for this then the depreciation life is 39 years for non residential.

[ChEAr$]

Not clear from your post

want to pay for a new furnace so the renter pays $3,700 for it. What depreciation method and life is available????

as to type of renter, whether individual, partnership, corporation, LLC, etcetc.

In any event though, seems that the 3700 would be additional rent paid and landlord has
to recognize in income; THEN he gets to add to basis of building and depreciate.