vwjuls
New Member

Get your taxes done using TurboTax

This exact same problem happened to me while doing my 2022 tax return.  I own a sole proprietorship and use the online version.  Turbotax told me that the number "0" was populated from my 2021 tax return, Form 4562, line 13.  They were correct as I looked up my old form and the number on that line was "0".  At first I didn't understand why.  I had bought a vehicle in 2021 for the business and only took about half of the allowable 179 deduction and had imagined that I would be able to take the other half on my 2022 taxes (these amounts were all within the allowed for my tax situation).  Well, I didn't want to go back and amend my 2021 return, so I went back to Section 179, and changed the amount to zero, so that it would match the 0 on 2021 4562.  (Please note that I had to keep the Section 179 box checked and go to next and type zero in the box and save-the program would not let me just uncheck the Section 179 box and check the None apply box.)  Since I changed it to zero, it seems that now the deduction will be spread out over coming years, as it would have normally been.  It's not really a problem for me that I didn't get a larger deduction in 2022.  It's just not what I imagined would happen.

 

I'm struggling to understand what about my 2021 return generated the zero on 4562 line 13.  Maybe someone could answer that.  The only thing I found in my 2021 return that might explain it, is that Turbotax generated a form called "Special Depreciation Allowance Elections under IRC Section 168(k)(7).  It seems that somehow I had chosen to Elect Out of Qualified Economic Stimulus property.  Maybe that has something to do with it, but I'm not certain.   Maybe I checked a box because I didn't understand exactly what the box was...I should have looked for advice on that...too late now.

I'm glad I only spent about 3 hours trying to figure this out.  I really feel for anybody, as this process was very frustrating.  TurboTax could have certainly given better advice, other than "your 2021 return must be wrong".