Are Water Filtration Systems Tax Deductible? | Knoxville, TN
Friday, February 17th, 2023
Tax season is in full swing, and Knoxville, TN residents are scrambling to get their tax papers in order. Tax deductions reduce your overall tax bill and help you catch a break in these trying times. Some home improvements are tax deductible, but do home water filtration systems also count? Yes, they do.
Water filtration systems are tax deductible, but there’s a lot beneath the surface.
Today, we’ll discuss whether water filtration systems are tax deductible and whether you qualify for this deduction.
Does Your Home Water Filtration System Qualify for Tax Deductions?
If you meet the set criteria, you may receive tax benefits from installing a water filtration system. Water filtration systems qualify for tax deductions if owners can prove that they installed them for medical reasons. This deduction typically applies to residents diagnosed with eczema, psoriasis, or other related conditions.
To qualify for tax deductions, homeowners must fill out the medical expenses deduction form. You must then prove sufficiently that your health deteriorates considerably after taking unfiltered water. The IRS subtracts the tax deduction from our taxable income, reducing your tax bill.
Tax Deductions via Capital Improvement
A capital improvement is any installation or repair of any structure that significantly increases the value of your property. Examples of capital improvements include installing an HVAC system, building a deck, or renovating an entire room.
Water filtration systems also qualify as a capital improvement if they meet the following criteria:
- It adds considerable value to the property: The IRS stipulates that capital improvement should increase its overall value. They consider water filtration systems that significantly increase property value as capital improvements.
- It increases the property’s lifespan: Your water filtration system counts as a capital improvement if it removes substances that may compromise the lifespan of your plumbing system hence improving its longevity.
- It helps adapt to new changes: Events like effluent or toxicity in the water supply may warrant a water filtration system. The IRS considers systems that adapt to such changes or events as capital improvements.
You qualify for a tax deduction if your water filtration system meets any of the above conditions. It’s worth noting that deductions on capital improvements aren’t immediate. They only apply once you sell the property.
Can You Write Off Your Water Filtration System?
To write off your water filtration system, you’ll first have to establish what tax deduction you qualify for. For capital improvements, your water filtration system must meet any of the criteria mentioned above. If you installed the water filtration system for health reasons, fill out the required forms for medical deductions.
However, the best way you get the most from these tax deductions is to get help from a licensed tax professional. They’ll save you the hassle of rummaging through your receipts and filling out multiple forms. They’ll also ensure you get what you truly deserve.
Can a Plumber Help Your Tax Situation?
Plumbers mainly deal with plumbing systems, appliances, and sometimes gas piping. A plumber won’t do much to make you qualify for a tax deduction. However, they can recommend what type of water filtration systems can help you qualify for a tax deduction. They’ll also arrange the installation of the same. Only licensed accountants, attorneys, and financial advisors can help you with taxes.
I Don’t Qualify for a Tax Deduction. What Next?
Not everyone with a water filtration system in Knoxville, TN qualifies for these tax deductions. But don’t let this discourage you from getting one or from neglecting the one your own. Installing and owning a water filtration has several advantages, including:
Access to Safer and Healthier Water
A filtration system removes contaminants and pollutants in your water, so your water is safe to drink. While the water supply company does its best to ensure you get clean drinking water, this treatment isn’t enough to make your drinking water 100% safe. A water filtration system eliminates bacteria, heavy metals, and other harmful substances in your drinking water.
Better Tasting Water
While funny-tasting water is mostly safe to ingest, some people find the taste unbearable. A water filtration system removes contaminants in your drinking water to make it tasteless. The better your water tastes, the more water you drink, and the healthier you become.
Improves Your Plumbing Systems Longevity
Impurities from the main water supply can affect your pipes and your plumbing fixtures. Chemicals like bleach corrode your pipes and lengthen their lifespans. A water filtration system gets rid of the corroding elements to increase the lifespan of your pipes, fixtures, and household appliances.
Cleaner Utensils
Approximately 85% of households in the US receive hard water. There’s nothing wrong with drinking hard water, but it’s terrible for your appliances and utensils. Hard water contains scum, a slimy substance that clings to your utensils. On drying up, this scum forms scale, calcified mineral deposits that stain your utensils. A water filtration system removes these minerals from your water supply so your utensils can maintain their beauty.
Better-looking Skin
Feeling itchy after a shower could indicate the presence of certain minerals and impurities in your water supply. Aside from the itchiness, these minerals could also lead to dry skin, sometimes with white marks. By installing a water filtration system, you can have healthier skin and drink better-tasting water to keep your skin supple and hydrated.
Better-looking Clothes
What better way to complement your lovely skin than with equally lovely clothes? Scale and scum have the same effect on your clothes as on your utensils. Washing clothes with hard water fades clothes and sometimes results in ugly stains. Water filtration systems ensure that clothes retain their colors and look their best.
Get Your Water Filtration System Today
Walter filtration systems make a world of difference in the water you use at home. Tax reductions are just one of the many pros of installing one in your home or business. So, if you don’t qualify for a deduction, you can still benefit immensely from these systems. Talk to your local plumbing company and arrange your water filtration system installation today.
The installation, repair, and maintenance of various water filtration systems are among our specialties here at My Professional Plumber. Talk to us today for professional water filtration installation in Knoxville, TN.
See our previous blog on this topic here!
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