Get your taxes done using TurboTax

As I'm sure you noticed "specially allocated depreciation" (SAD) is not one of the choices when entering "Code W detail."  Since it is listed as a deduction, if you select Section 754 depreciation, it will subtract the amount from the portion of income allocated to you.  To do this:

1. Click on Federal > Wages & Income
2. In the S-Corps, Partnerships, and Trusts section click on the box next to Schedule K-1.  [Screenshot #1, below.]
3. Click Yes on the next screen, Did you receive any Schedules K-1?
4. On the Tell Us About Your Schedules K-1 screen.  Click on the Start/Update box next to the type of entity (partnership, S-corporation, or trust/estate) that issued the K-1.   [Screenshot #2]
5. If you have already entered K-1 information, you will see a Summary screen.  Click Edit to continue with the existing form entry.  [Screenshot #3]
6. If you haven't started entering K-1 information, continue through the screens, entering the requested information.
7. On the Enter Box 13 Info screen, enter the amount and select Code W - other deductions.
8. On the next screen, Enter Code W Detail, mark the box for Section 754 depreciation and enter the amount listed on your K-1 and click Continue.  [Screenshot #4]