I have been using a car for rental property and now want to start renting the car on Turo. What depreciation value do I use for Turo?

[FelicityM]

 I have used this car for personal and real property rental business for 4 years. I converted the car to a Turo rental. What valuation do I use for depreciation if I began to use this for the Turo ride sharing platform?  Turbo tax does not address this in the the software.

[ThomasM125]

You would enter the cost of the vehicle less depreciation or the fair market value of the car as the basis for depreciation, whichever is less.

[FelicityM]

Thank you for your reply. Do I subtract my previous mileage deduction that I have taken in the previous years for this same car? Or do I use the current fair market value at the start of the new venture? 

[Carl]

You use the "lesser" value of what you paid for it minus depreciation already taken, or it's FMV at the time placed in service with Turo.

[FelicityM]

Thank you so much for your response. If I have had it in service for 2 years under a milage depreciation, would I then count those 2 years toward a 5-year depreciation or would I start a new 5-year depreciation? 

[Critter-3 · Accepted solution]

You will start a new 5 year depreciation period using ... You use the "lesser" value of what you paid for it minus depreciation already taken, or it's FMV at the time placed in service with Turo.

Part of the standard mileage rate is considered  the depreciation so you need to compute how many miles you used for business x the rate for that tax year to compute the total depreciation taken ...  https://taxschool.illinois.edu/post/how-long-can-you-deduct-standard-mileage-on-the-same-vehicle/

[Carl]

See https://bradfordtaxinstitute.com/free_resources/irs-mileage-rates.xml.aspx

The "depreciation per mile" is about halfway down the page and covers all years back to 2003.