Can you depreciate or deduct as an expense the cost of a newly purchased rental unit?

The rental property may be depreciated under the rental property activity and reported on IRS Schedule E Supplemental Income and Loss.

In TurboTax Premier Online, follow these steps:

• Down the left side of the screen, click on Federal.
• Down the left side of the screen, click on Wages & income.
• Click to the right of Rentals, Royalties, and Farm.
• Click to the right of Rental Properties and Royalties.
• At the screen Your 2024 rentals and royalties summary, click the pencil icon to the right.
• Select Add expense or asset to establish the rental property asset.
• Answer the questions to establish the rental property asset and compute depreciation on the rental property asset.