# @edwardcollins_upleveled on Instagram

- **Type:** Video
- **Original URL:** https://www.instagram.com/p/DO7EKgKgUH4
- **Gondola URL:** https://gondola.cc/posts/35104050-edwardcollins-upleveled-instagram
- **Thumbnail:** https://img.gondola.cc/tr:w-,h-,fo-auto/postThumbnails/c85f4dc859.jpg
- **Posted:** 2025-09-22T23:26:33.000+00:00
- **Account Owner:** Edward Collins | Money Lawyer & Wealth Strategist (@edwardcollins_upleveled) — https://gondola.cc/edwardcollins_upleveled

## Caption

Let me know in the comments if I’m being a bit too nit-picky.

I actually have different definitions of the terms repair and capital improvement than the ones used in this particular post.

🏠 When we’re talking about your rental real estate, a repair, from my perspective,
is when you take something that’s in that unit or property you own and bring that thing back to a new or good condition, but it’s still the same thing.

🔧 A capital improvement is the replacement of the thing or the addition of something new to the property or the modification of something already there.

Like adding a new appliance, putting in an addition to the property,
or renovating and restructuring the infrastructure of a room... a new wall as an example.

📑 The concept is different on purpose because the tax code treats those things in different ways.

💵 Repairs are treated as an expense in the year the cost is incurred.

🏗️ Capital improvements must be depreciated over their useful life.

✨ That depreciation opens the door to an opportunity.

Because the One Big Beautiful Bill, signed into law on July 4, 2025, reinstated bonus depreciation at 100%.

So for all those renovations and capital improvements with a useful life of less than 20 years, you can treat them almost like a repair, since you can accelerate that depreciation into Year One.

▶️ I did an entire breakdown of the One Big Beautiful Bill over on my YouTube channel.

If you’re interested, drop the word “YouTube” and I’ll send you a link to my Channel.

Credit (IG):
 TJ Thorlackson - the.real.tax.guy

 SF0753

## Stats

- **Views:** 29,398
- **Likes:** 1,288
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- **Comments:** 339

## Credits

| Name | Username | Profile | Role |
| --- | --- | --- | --- |
| Edward Collins | Money Lawyer & Wealth Strategist | @edwardcollins_upleveled | https://gondola.cc/edwardcollins_upleveled | Talent |
| Hector Garcia | @Hector_FilmSchool | https://gondola.cc/Hector_FilmSchool | Content Producer |

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