I have made repairs to my house which I also use partially as an office. What is the correct account to post these repairs to? Also, this year I have leased a building for an office. Before opening the office, major remodeling had to be accomplished. What is the correct account to post these repairs to? Is there a dollar amount before it can be considered a current asset and depreciated? If it should be posted as a current asset, should I have one asset account for the home repairs and one asset account for the out-of-home office repairs?
Are you an incorporated business or sole proprietorship? We need to know that for the home office question.Once you leased the other office, you were no longer entitled to take a home office deduction anyway. For the new office, the improvements need to go into a Fixed Asset type of account called Leasehold Improvements and depreciated over a 39 year life. Anything you paid to get this office ready to occupy needs to go to that account. Any minor repairs after that can be expensed.
