Anyone have any idea on how to make this happen. Trying to offset W2 earnings with short term rental losses. There's such a thing as a short term rental loophole but don't know how to make this happen in TurboTax. Our average rental is less than 7 days and I manage it exclusively well over 500 hours per year.

Recommend going through a CPA

This does not, and should not, constitute as professional advice.

The software should walk you through Schedule E, depreciation (Form 4562), and Form 8582 if needed. If you provide substantial personal services to guests (e.g., daily cleaning during stays, meals, concierge services, or hotel-like operations) use Schedule C instead of E.

file an extension. get a real tax professional.

Well over 500 hours managing one property? Yikes.