Tax Prep by Deb Posted April 10, 2015 Report Share Posted April 10, 2015 I have a new client, former turbo tax and previous preparer, never took depreciation on a rental that began in 2008.How do I proceed to correct this? Form 3115? Do I amend the open years, or by filing for 3115 do we claim all the depreciation this year?I'm so tired right now I can't see straight and have a full day of appointments coming in (fortunately all easy ones), but I would appreciate a little guidance on this one.Thanks in advance!Deb! Quote Link to comment Share on other sites More sharing options...
michaelmars Posted April 10, 2015 Report Share Posted April 10, 2015 3115 2 Quote Link to comment Share on other sites More sharing options...
Tax Prep by Deb Posted April 10, 2015 Author Report Share Posted April 10, 2015 Then do we deduct the catch up depreciation this year or do we amend the open years? Quote Link to comment Share on other sites More sharing options...
Lynn EA USTCP in Louisiana Posted April 10, 2015 Report Share Posted April 10, 2015 deduct all the heretofore unused depreciation in 2014 - enter it as '481(a) adjustment' on the other expense line 1 Quote Link to comment Share on other sites More sharing options...
Tax Prep by Deb Posted April 10, 2015 Author Report Share Posted April 10, 2015 Thank you so much for your help! Quote Link to comment Share on other sites More sharing options...
joanmcq Posted April 11, 2015 Report Share Posted April 11, 2015 Hell, put it on extension. They should get a nice refund with all of the depreciation to catch up. Quote Link to comment Share on other sites More sharing options...
Terry D EA Posted April 11, 2015 Report Share Posted April 11, 2015 I agree with the other posts form 3115 and take all of the past depreciation as a 481 adjustment. Joan's suggestion is a very good one too. 1 Quote Link to comment Share on other sites More sharing options...
Tax Prep by Deb Posted April 11, 2015 Author Report Share Posted April 11, 2015 Agreed!I haven't picked it back up, but if Monday and Tuesday is anything like Friday, It will definitely go on extension.I haven't told the client yet, he thinks he owes at this point, but will be very happy when done! Quote Link to comment Share on other sites More sharing options...
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