Business & farm
Yes, you are correct that the plumbing can only count 0.6% of the total cost. You understand the concept and how it should flow on the business portion if your tax return, You have selected that it qualifies for the DeMinimis Safe Harbor. When this occurs, you list the expense in miscellaneous or other expenses on your self employment schedule and it is a full business portion of the expense deducted in the year placed in service (no depreciation required).
TurboTax gives the details for improvement property in your screen image number 2 (placed below), once you answered 'Yes' to these questions you can go directly to the miscellaneous or other expenses and do not complete the rest of the asset information because you do not have to depreciate it when you meet the DeMinimis Safe Harbor requirements.
