I own a property where I live in 50% of the space and operate a short-term rental business (VRBO/Airbnb) in the remaining 50%. The business is a single-member LLC (default). I recently learned that to qualify for property depreciation deductions, I need to be actively involved in the business and pay self-employment taxes. Since I actively manage the business—cleaning the space, purchasing supplies, stocking them, and managing reservations on the listing website—can I still report the rental business as active income and claim all the related deductions? How should I go about this?
