Bonus Depreciation 2023 STR

[Michael Sylver]

I've been reading threads... but getting confused. As a high W2 earner I am looking to apply the bonus depreciation in 2023 (my spouse will meet the 100 hour requirement). I'm considering buying 1 STR and 1 LTR. The tax benefit is not the primary driver for my purchase, however it certainly is a factor in the decision if I can deduct 80% depreciation in year 1. If so I may even consider 1 purchase 2023 and then the second in 2024 for the tax benefits.

I'm in process of switching CPA or I'd be asking him to validate.

Thanks all

[Ashish Acharya]

Not the entire purchase price is deducted. Only a percentage of the basis is bonus depreciated the first year. The depreciation is 80% by might be on the 25% of the purchase price.