SoloK: Allowable Deductions & Adjusted Cost Basis

[Alan Williams]

A multi-part question answers or insights to which are much-appreciated ...

Part 1: Deductibility of Expenses

Are ANY typically-allowable [write-off] expenses and/or capitalized/amortized expenses in a taxable context (e.g. Section 179 [write-off] expense of new Wall-To-Wall carpeting; Amortized expense [annually] from a new Water Softener) also allowed if an Investment Property is owned by a SoloK Plan ?

OR

Are ALL typically-allowable [write-off] expenses and/or capitalized/amortized expenses in a taxable context disallowed specifically because the 
Investment Property IS owned by a SoloK Plan ?

If the answer is that there are SOME typically-allowable [write-off] expenses and/or capitalized/amortized expenses allowed is there a section of the IRC that specifically identifies which ones ? After considerable research, I have identified multiple conflicting citations from CPAs and Tax Attorneys regarding the non-deductibility/deductibility of all/various expenses, one, for example, being Property Taxes with the implication being that State and Local property taxes (to the SALT limitation) ARE, in fact, deductible on the Form 1040 (note: the subject property is reported on Form 1065, Schedule 8825 as part of a MMLLC filing). An additional [Legal not Tax] question is whether deducting Property Taxes on a personal Form 1040 by a partner(s) would potentially weaken the legal protection of the MMLLC itself ?

Part 2: Adjusted Cost Basis

If the answer is that there are SOME typically-allowable [write-off] expenses and/or capitalized/amortized expenses allowed would the generally-accepted process of calculating Adjusted Cost Basis apply to the property such that, at the time of sale of the property, the taxable gain would be (in this simplified example):

Sell Price - Adjusted Cost Basis = Taxable Gain

where Adjusted Cost Basis = Purchase Price + Cost of Improvements (Wall-To-Wall Carpeting + Total of Amortized Water Softener Capitalized Expense) 

Cheers All -

Thanks for any answers/insights/reactions ...

Alan