You will need to
enter the assets that were placed in service in previous years as individual
assets so that TurboTax can calculate the current year’s depreciation
amount.
To manually enter depreciation details in order to match assets
previously being depreciated outside of TurboTax, use the steps below as a
guide. Assets for depreciation are
commonly entered as part of Schedule C or Schedule E. The instructions below are for Schedule C, but
the process would be similar for Schedule E.
- Starting from
the Business Income and Expenses
selection under the business tab, choose Update or Review to
get to the details about your business.
- Proceed to the Business Summary page, then Edit
your business.
- Scroll to the Business Assets section, then Start
or Update.
- Proceed to the
point where you adding an asset on the page titled Describe This Asset.
- In order to
enter the asset exactly as it has been reported in the past, choose the
last option on the list, Intangibles,
Other Property, then click Continue.
- On the next page
titled, Tell Us a Little More,
select Other asset type, then
click Continue.
- Enter the
detailed information about the asset:
description, cost, date purchased or acquired. Click Continue.
- Continue with
additional details on the next screen, then click Continue.
- Select the
appropriate Asset Class, then
click Continue.
- Choose the MACRS Convention, then click Continue.
- Select the Depreciation Method, then click Continue.
- Answer the
question regarding Listed Property,
then click Continue. There
may be some additional background questions as well, keep going.
- You will
eventually come to a screen to confirm the Prior Depreciation, enter the data and click Continue.
- Finally, you
will see an Asset Summary
screen with the current year depreciation amount listed. There is also a check-box here to Show Details. This will open a full description for
the asset so you can verify that it matches the previously reported
information. If it does not, you
can choose to go Back and re-enter the data that needs to be
changed.
