Tax deduction for tree work - Posted by Gary

import · February 19, 2006, 4:08pm

Posted by Gary on February 20, 2006 at 07:10:43:

Thank you very much! Gary

import · February 19, 2006, 4:08pm

Posted by Gary on February 19, 2006 at 17:08:53:

Hi,
I paid over $1,500 for a tree service to cut down a tree on my rental property. How do I deduct that? Or is that amount depreciated in some way? Thanks! Gary

import · February 20, 2006, 5:39am

Tricky Question-Prolly Deduct - Posted by Jimmy

Posted by Jimmy on February 20, 2006 at 06:39:12:

an easy question, but the answer is not.

tree trimming at the site of a rental property is a deductible expense directly associated with the operation of the property.

tree removal is different. It is really a site improvement, and it is associated with the LAND, and not the property. As such, it would not ordinarily be deductible nor would it be depreciable. it would added to basis, and will sit there until you sell the property.

HOWEVER. if your reason for taking it down is to protect your house, or to eliminate a source of liability (a dying tree ), you can probably deduct the whole fee. Expenses incurred in an effort to protect a source of income are deductible.