Pyrrole is protonated at the carbon, as the positive charge can be delocalised on to nitrogen by resonance. Decarboxylation is then aided by attack of water on the carboxylic acid group.
Click the structures and reaction arrows in sequence to view the 3D models and animations respectively
X. Cheng, J. Wang, K. Tang, Y. Liu and C. Liu, Chem. Phys. Lett., 2010, 496, 36–41.