Form 3115 Change in Accounting method

Forum|Forum|3 years ago
August 18, 2022
1 reply
0 views

Hello, thanks for your help in advance. I need to change the accounting method for 4 properties acquired in 2019 in order to be able to deduct the separate items in a cost segregation study that I had done for those 4 properties.

My question is: Will I be able to deduct the items in the cost segregation study (site improvements (15 year), and Equipment/Furnishings (5 year)) in their ENTIRETY (i.g. as a Special Depreciation Allowance) for my 2021 taxes?

if so, Does turbotax desktop premium allow this do be done in the application?

thanks again

Best answer by Anonymous_

The Premier version of TurboTax desktop will suffice for your purposes.

However, as was explained in previous posts, you will have to use Forms Mode and, possibly, make overrides.

Further, you will have to print and mail your return since Form 3115 is not supported for e-file.

Anonymous_Answer

Employee

The Premier version of TurboTax desktop will suffice for your purposes.

However, as was explained in previous posts, you will have to use Forms Mode and, possibly, make overrides.

Further, you will have to print and mail your return since Form 3115 is not supported for e-file.

nanosuna1977Author

Thanks for your reply. By any chance do you have instructions on what selections to make in turbotax in order to take the deducions in their entirety for the tax year in question, and also instructions on how to input the 3115 form?

thanks again for your help

Anonymous_

Employee

See https://www.irs.gov/instructions/i3115#idm140516453720416

Also, note that you need to attach a summary of the computation and an explanation of the methodology used to determine the section 481(a) adjustment.