Question

How to report the sale of rental property after renovations Turbotax Canada

Forum|Forum|3 years ago
May 1, 2022
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how to report the sale of the rental property after renovations to Turbotax Canada?
the house was bought in 2019 and was rented for some time, after the tenants moved out it was renovated. it was sold in 2021, and it was rented out at the moment of sale. where to enter the information about the sale and renovation expenses? I am using TurboTax self-employed

TurboTaxSusan

When you enter the renovation expenses it would depend on whether they were current expenses or capital expenses. Capital expenses would be added to the value of the property. Current expenses you can claim as part of your rental expenses.

This Canada Revenue Agency (CRA) webpage has more information on the difference between current & capital expenses: Current Expenses Or Capital Expenses