All Topics / Legal & Accounting / Any Tax implications in Insurance Claim

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  • Profile photo of ShwingShwing
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    @shwing
    Join Date: 2005
    Post Count: 219

    Had Water damage claim where bathroom wall and abutting bedroom wall was replaced, shower wall and floor retiled, surrounding area repainted. Cost of claim was apparently $6000. 
    I also paid the builder to replace the vanity, and all the tapware at an additional $1000. The old pale blue, simply wasn't going to go with the new tiles. The property is 12 year old.

    I have now sold the property, in the same year as the repairs were done. And the repairs obviously contributed to a higher sale price.

    How do I treat, if required, the
    1) $100 Insurance Excess ?
    2) Writing off of Old bathroom
    3) repair cost of New Bathroom $6000
    4) Replaced taps and vanity costs

    Thanks

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