Furnishings Tax Question

[Tom E.]

As I work on preparing my first STR which I plan to materially participate in for 2025 and manage myself I'm wondering about furnishing the place and getting it ready for guests. It is 3 bd place and I'm wondering what the ballpark is for furnishing it? I can price and use AI all I want, but I'm wondering about real life experience what to expect? I plan to spend more in master with nice bed (king+) in there with a queen then potentially bunk versus two twins in third bedroom.

As I purchase this in 2025 and have 0 personal use throughout the year I then plan to cost seg and use that for bonus depreciation (or what is left of it before phase out)... and wondering what % of furnishings I can deduct? There will be a few bigger items like a nice couch and new appliances. Finding mixed results from a tax perspective of a cutoff where I need to depreciate over years with bigger purchases (>3k if I remember correctly). 

thanks!

[John Underwood]

That depends.

High quality vs lower quality

New vs used.

A mix of both.

Could be $30k for good quality new stuff.

Your CPA can tell you what you can deduct and what you have to depreciate.