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The $8,916. would be included on Line 10-Cost of additions and improvements.
The only exception to that would be if the items included in the $8,916. are items that should be included in Itemized Deductions or do not qualify as improvements.
If you can tell me what you have included in the $8,916., I can be more specific.
As far as your second question is concerned, related to your husband's disability, that will not affect anything related to this transaction.
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