Entering a major improvement to a rental property where I also live

[Brintndo]

Our house is fully paid off.

For the past several years our house is also rented out tenants who have their own bedrooms and access to the entire house.  Their rent also includes their meals and they have full use of the laundry facilities.

We just completed a major improvement to the house costing about $165,000.  We added a large room to the first floor, which expands the square footage of the original building.  The new room contains a new kitchen area, a bathroom, and a laundry facility.

How should I enter this into Turbotax in order to secure deductions over the next years.  I assume on Schedule E, correct?

Thanks for your advice

[ColeenD3]

Yes. You would add it as a separate asset and claim the amount over the 27.5 useful life of the asset. You would only be able to depreciate the business portion of the improvement. 

[Edited 1/27/2022 | 10:48 AM EST]

[Rick19744]

@ColeenD3 are you sure of your response? 

The OP states that this is her personal residence where they live and then rent out a couple of bedrooms.

[Brintndo]

Yes, I finally was able to see how to enter the data.  Thanks