I need to do 5k worth of home improvement in the form of replacing an A/C and a furnace. The property is a rental and I'm probably going to break even this year.
On the other hand, I have another business LLC that has done quite well. Because the business LLC is a pass-through, I'm hoping to deduct the home improvements from taxable income, because all the money boils down to me at the end of the year.
Is there a legal way to do this while being able to reap the tax benefits?
- House: Needs 5k & doesn't have it.
- Business: Has surplus & is going to get over taxed.
- Me: Wanting to take 5k from the business and give it to the house, deducting the property updates from my taxable income.