Investors & landlords

It's too late for an amendment. You will need to make the correction on Form 3115.

 

Unfortunately the depreciation recapture is "allowed or allowable" meaning even if you never depreciated it, you would still have to recapture the depreciation. Depreciation taken would be on line 18 of Schedule E.

One solution is to elect an accounting method change and file a Form 3115 in the current year and take the  prior depreciation as a section 481(a) adjustment. [land  value is separated, land is not depreciated]

Below are the IRS links related to the change in accounting method. TurboTax does not have that form.

May be these will help

Form 3115, Application for Change in Accounting Method

http://www.irs.gov/uac/Form-3115,-Application-for-Change-in-Accounting-Method

Instructions for Form 3115 (03/2012) 

http://www.irs.gov/instructions/i3115/index.html

Form 3115,

http://www.irs.gov/file_source/pub/irs-pdf/f3115.pdf