Short-term rental tax deductions and their impact on W-2 income

[Jephte Augustin]

I'm in the process of converting my garage to rent out as a short-term rental.

I want to know if I decided to take advantage of the deduction to offset my w-2 taxes, whether I would get a refund from the IRS.

Example

Assume I paid $40k in taxes in 2023 and my short-term rental was active in 2023 after I finalized my reno. Let's say the reno cost $65k and income from the rental was $5k (net loss of $60k - simplifying the scenario). When I file my taxes in 2023, will I get $20k in returns? I know I'm over-simplifying my situation; but the essence of my question is whether I will likely get a refund.

Thanks