Depreciating or writing off cost of a new large deck under current tax law

[John Underwood]

So this is for the "One Big Beautiful Deck"

I have only been loosely following the new tax code under the One Big Beautiful Bill.

So when I spend $35k on a new Trex Deck can this be written off in the same year?

[Julius Vincent]

Hey @Lisa Graesser - LTRs are eligible for bonus depreciation. And you're right that since the property wasn’t placed in service until August 1, most of those pre-rental expenses (like renovations and improvements) are considered capital improvements and get added to your basis.

But under Trump's new tax bill, certain components of your renovation (like appliances, light fixtures, and even some flooring or cabinetry) may qualify for bonus depreciation if they fall into a 5-, 7-, or 15-year property category under IRS rules. You can claim bonus depreciation on those items without a full cost segregation study, but you’ll still need to properly identify and separate them out from the 27.5-year building cost.

A cost seg isn’t required by the IRS, but it gives you a defensible way to allocate costs to shorter-life assets and land improvements, especially in a remodel like yours.