2022 Form 4562 seems to be using wrong number in line1, causing uncorrectable limitation error.

Forum|Forum|3 years ago
March 1, 2023
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I am getting error message on federal check process after deductions and credits saying my Sec 179 deduction has been limited to zero, and all $1800 of it needs to be reallocated. Obviously, I've not surpassed the 7 figure limitations. On Form 4562 TurboTax has populated line 1 with $1,080,000 when the IRS instructions for 2022 say it should be the smaller of total cost of 179 property and the $1,080,000. The figure cannot be overridden. This pertains solely to tangible property (appliances) placed into service in 2022 at residential rental property owned for many years, and with profits - all schedule E. What is up with this and what to do?

PatriciaV

Employee

Occasionally, this will happen if the cost for the new asset or the amount of Section 179 is entered incorrectly. We recommend that you return to your Rental Property and review your entries for this asset, especially any questions about Section 179.

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dginilAuthor

I have reviewed all of the depreciation and sec 179 questions and answers multiple times before posting. They are entirely correct, and only 3 items none above $800.