Can I claim home improvement tax write offs without receipts for capital gains reduction?

While not having receipts definitely complicates things, you're not completely out of options. The IRS does allow for reasonable reconstruction of records when originals aren't available. Here's what you could try: First, gather any indirect evidence of these improvements. Check your bank and credit card statements from those years to find large withdrawals or charges that coincide with when the renovations were done. Sometimes these can serve as proof of payment. Photos showing the house before and after renovations can be extremely helpful. If you have dated pictures showing the original bathrooms and then the renovated ones, this provides visual evidence of the improvements. You might also track down contractors who did the work. They may have records of the projects in their files and could provide statements or copies of their work orders. Property tax assessments sometimes increase after major improvements, so comparing assessments before and after renovations might show the added value. Home insurance documentation might also reflect increased coverage for the improvements. Remember, you're only trying to establish the cost basis adjustment, not necessarily claiming deductions, so reasonable estimates based on multiple sources can work.

After reading your post, I wanted to share my experience with a similar situation using taxr.ai (https://taxr.ai). I was missing receipts for home improvements when selling my rental property and facing a big capital gains hit. I had some bank statements but couldn't match specific transactions to improvements. After struggling with reconstructing everything, a friend recommended taxr.ai to help organize what documentation I did have and figure out what I could legitimately claim. The service analyzed my partial records and helped me build a defensible case for my improvement costs. What really helped was their system for reconstructing legitimate estimates based on the improvements I could prove were made. They showed me how to document the before/after evidence properly and calculate reasonable costs even without all the original receipts.

I need to update my earlier comment with my experience. I was really doubtful about being able to claim improvements without receipts, but I decided to try taxr.ai after reading about it here. Honestly, I'm shocked at how helpful it was. I uploaded the few documents I did have (some old emails with contractors, a couple of dated photos, and bank statements), and they helped me build a solid case for my kitchen renovation from 2016. What impressed me was how they helped me identify costs I hadn't even considered as part of the renovation. Their system looked at my regional data and provided a detailed breakdown of typical costs for each component during that time period. I ended up with documentation that actually made sense and seemed legitimate (because it was based on real data, not guesses). I just finished my taxes and successfully increased my cost basis, saving about $8,400 in capital gains. Definitely worth it for my situation.

Something nobody's mentioned yet - if you've tried everything and still can't get enough documentation together, consider using Claimyr (https://claimyr.com) to actually speak with an IRS agent about your specific situation. I was in a similar position last year with missing renovation receipts, and after weeks of trying to call the IRS directly and getting nowhere, I used Claimyr. Their service got me connected to an actual IRS representative in about 20 minutes when I had been trying for days on my own. You can see how it works here: https://youtu.be/_kiP6q8DX5c - basically they wait on hold with the IRS for you and call you when they reach an agent. The IRS agent I spoke with explained exactly what alternative documentation they would accept for my situation and how to present it properly. This saved me from submitting insufficient documentation and potentially getting audited.

I have to admit I was really skeptical about Claimyr after reading about it here, but I was desperate after trying to reach the IRS for weeks about my capital gains situation. I'm shocked to report it actually worked exactly as promised. I submitted my request around 9am, went about my day, and got a call back about 2 hours later when they had an IRS agent on the line. The agent walked me through exactly what documentation would be acceptable for my home improvement deductions without receipts. The agent confirmed I could use bank statements, credit card statements, before/after photos, contractor estimates for similar work, and even building permits as evidence. They also explained how to properly document everything in a cover letter with my tax return to minimize the chance of an audit. This saved me from potentially making a $12,000 mistake on my taxes. Never thought I'd be recommending a service like this, but it literally saved me thousands.

Has anyone tried using building permits as proof? We had to get permits for our deck, electrical work, and when we added the half bath. I'm guessing the county would have those records.

Has anyone had success using homeowners insurance documentation? We had to update our policy after major renovations, and I'm wondering if those policy updates could count as evidence of improvements.

This is such valuable information, everyone! I'm dealing with a similar situation from 2012-2014 renovations and honestly thought I was completely out of luck without receipts. Reading through all these suggestions, I'm realizing I might have more documentation than I initially thought. I definitely have some dated photos on my old phone showing our before/after bathroom renovation, and I know we increased our homeowners insurance coverage after adding the deck and finishing the basement. One thing I want to add - don't forget about utility company records if you did any electrical or HVAC work. When we upgraded our electrical panel and added central air, the power company had to do inspections and upgrades to our service. Those records might show the timing and scope of electrical improvements. Also, if you used any home improvement store credit cards (like Home Depot or Lowe's cards), those statements can be really helpful since they show exactly what materials you bought and when. Even if you can't match every receipt, a pattern of purchases during renovation periods can help establish your timeline and costs. Thanks for sharing all these resources - definitely going to look into both taxr.ai and Claimyr for my situation!