I own an Airbnb property in Florida. where should this for accelerated depreciation(cost segregation study)?

[MaryK4]

If you purchased in 2025, you would be able to enter each asset class in the expenses section and elect the bonus depreciation (except for the land and main structure of course).  If it is for a property already in service prior to 2025, you would need to file a Form 3115 as well.  

[biren13]

Thank you for reply. I do not see bonus depreciation on expense & assets section. It shows me only "cost of your building will be depreciated over the next 27.50 years." 

[MindyB]

You'll need to break out the items that have shorter lives than the building. When you are on the page "Here's the rental property info", select add expense or asset and choose Improvements, furnishings, and other assets. Start the interview regarding the improvements and indicate that yes, you made improvements in 2025. Continue through the interview to enter the information about the improvements. 

Note that Forms 4562 attached to Schedule E are currently being updated. 

Here, you can sign up for an e-mail to stay current on the updates: Sign up for email notification

[biren13]

Appreciate your Response. I tried adding furniture and other improvements, but it seems they should be purchased in 2025 after the property was purchased. My Cost Seg Study has the following summary for tax filing. Does this go to Forms 4562 for Schedule E 

CSI Division	5-year Asset Category
Division 06 — Wood and Plastics	Decorative Millwork
Division 06 — Wood and Plastics	Window Treatment
Division 09 — Finishes	Flooring
Division 11 — Equipment	Appliances Residential
Division 11 — Equipment	Dryer Vent Kit
Division 12 — Furnishings	Cabinetry
Division 12 — Furnishings	Countertop
Division 12 — Furnishings	Shelving
Division 22 — Plumbing	Plumbing System
Division 26 — Electrical	Decorative Lights
Division 26 — Electrical	Building Lights
Division 26 — Electrical	Electrical Branch Wiring
Division 26 — Electrical	Special Purpose Electrical
	5-Year Total
CSI Division	15-year Asset Category
Division 32 — Exterior Improvements	Concrete Paving
Division 32 — Exterior Improvements	Landscaping
Division 32 — Exterior Improvements	Fencing & Gate
Division 32 — Exterior Improvements	Site Inground Pool
Division 32 — Exterior Improvements	Site Structure
	15-Year Total

No.	Description	In Service Date	Cost basis
1	5 Year - Personal Property		$XX,XXX
3	15 Year - Land Improvements		$XX,XXX
4	15 Year - QIP		$XX,XXX
5	39 Year - Real Property		$XXX,XXX
	Land Value	-	$XX,XXX

[taxmodern]

Can you clarify what you are asking about when the items were purchased?  When did you buy house?  When was it first placed in service as a rental (made available to be rented)?  And are you saying you bought some of the items in the cost seg study at a later date?

[biren13]

The property was purchased on 30 oct 2025, and it was made available to the Airbnb platform on 11/15/2025. 
When I answer questions, it asks me to enter depreciation as miscellaneous expenses. On reddit, i read i might have to buy desktop software instead of using online interface to file accelerated depreciation. Does anyone know should i switch from online to desktop? if yes, does it work for airbnb bonus depreciation for assets 

[Vanessa A]

In general, if you return is more complicated and you want to see the forms as you go, then the desktop version is the better way to go .

However, the online version does handle the assets and depreciation.

Are you entering the assets as an expense or are you entering them in the asset section?  As of today, when I try to enter assets in the online version and the desktop version, it is telling me the section is not ready yet, but will be ready soon as it is being updated. 

[biren13]

Thank you. It showed me forms are being updated only once. Currently, the workflow adds them to the misc expense. Do you know when the form will be available?

[AnnetteB6]

The work on this section of TurboTax is continuing and expected to be completed with an update coming after Thursday night.  The best time to check for a change will be Friday.
 

@biren13