Can I take RE investment property research as expense in 2021 if property did not close until 2022

[JudyB]

Client has expenses in 2021 for purchasing investment property which did not close until 2022.

Where can i take these expenses this year. 

[Terry53029]

Start up expenses (up to $5000 in year available for rent) Balance up to $50000 amortized over 15 years.

See link for easy reading, or pub 535 for official rules.

https://www.nolo.com/legal-encyclopedia/deducting-expenses-you-incur-before-your-real-estate-busines...

[qbteachmt]

You had already asked this, here:

https://proconnect.intuit.com/community/tax-talk/discussion/real-estate-investment-deductions-for-re...

This is not Customer Support; it's peer users. There is no need to keep starting new topics on the same issue. I flagged your first post on this issue to be deleted.

[sjrcpa]

Or, depending on the nature of the expenses, they get capitalized as past of the cost basis of the property.

[sjrcpa]

In the other post OP said they did not buy the property. I was in no mood to research failed/abandoned investment costs.

[JudyB]

Thank you. I will look it up this way. Appreciate your answering