It sounds like you understand everything but the sec 179 or I am missing something. You have the rental on sch E. You have your business and home office on sch C. Your vehicle goes on both schedules with different mileage amounts.
Sec 179 is used for a one time big expense instead of depreciating the item- it isn't an annual thing to write off regular expenses. You would use either standard mileage or actual expenses each year. If you claim a sec 179 on a car, you must use actual expenses in the future.
Per IRS Publication 463 Car Expenses
Standard mileage rate not allowed. You can’t use the standard mileage rate if you:
• Use five or more cars at the same time (such as in fleet operations);
• Claimed a depreciation deduction for the car using any method other than straight line, for example, Modified Accelerated Cost Recovery System (MACRS) (as discussed later under Depreciation Deduction);
• Claimed a section 179 deduction (discussed later) on the car;
• Claimed the special depreciation allowance on the car; or
• Claimed actual car expenses after 1997 for a car you leased.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
