Hi there,
I purchased my primary house in Sep 2021 and rented out part of it (say, 40%) on the same day as I got the keys. But I'm confused while calculating the depreciation for my house. I know only the rental portion can be depreciated, so I multiplied my total cost by 40% and entered the results in the "Tell Us About This Rental Asset" portion (see below). But on the next page, TurboTax asked me if this business is used 100% since I acquired it (please see the second image below). Since the 40% portion was rented out all year 2022, shall I answer "yes" to this question? And the date that I started using it for business should be 01/01/2022 since I have reported the depreciation for 2021, right? (I think the way I did for 2021 was wrong...)
Also, could anyone please help me understand the differences between "rental percentage" and "business percentage", please? Because I also purchased some furniture in 2022 which was used by both me and my renter that needs to be depreciated.
Thanks so much for the help, and happy new year 🙂
