Show Asset Depreciation Tutorial Home >Software >Finance >TurboTax Deluxe >Entering Income >Show Asset Depreciation Tutorial Home >Software >Office >TurboTax Deluxe >Entering Income >Show Asset Depreciation   Step 1:  Enter a Description Assets that you purchased for your business need to be depreciated, a process that enables you to spread the deduction for the cost of the asset over a period of years during which the asset will be used to help generate income for your business. Enter a brief description of the asset that you acquired for your business.   Step 2:  Enter Starting Date Enter the date on which you began using this asset for your business. If this is the first year you used TurboTax and your business has been in existence for more than one year, you will probably enter some assets that were acquired prior to 1999.   Step 3:  Enter Cost Enter the amount you paid for the asset, including shipping and sales tax.   Step 4:  Choose Asset Type TurboTax provides a scrollable list of various asset types. Choose the category that best fits the asset you are describing. Depreciation on this asset will be calculated based on the type you choose.   Step 5:  Answer Question(s) Depending on the asset type you indicated in the previous step, the questions you see may vary. Answer the questions that appear, providing the information TurboTax needs to complete its calculation of your depreciation deduction.   Step 6:  Enter Business Use TurboTax assumes you used the asset 100% for business, but this may not be so. A computer may be used for your business by day, but it may double as the family computer in the evening. Enter the percentage that applies to the amount of time your asset is used exclusively for your business.   Step 7:  Consider Section 179 Some assets qualify for a Section 179 deduction, which is a feature of the tax law that enables business owners to take a current year deduction for up to $19,000 of the cost of assets purchased for their business. TurboTax will tell you if your asset qualifies for this deduction, then it's up to you to decide if you want to use it. Consider the long-term benefit of a current tax deduction versus the value of matching the deductions to the income generated from the assets for years to come.