Form 3115 attachments

[MG26]

I understand that I have to do form 3115 myself in the online version and mail with tax return and also a copy of form 3115 to an additional address.

I'm trying to create the attachment below to explain how I came up with the numbers so I have to figure out how Turbo Tax came to the conclusions. Is there an amoritization table that I can see what TT did? Anyway, when I use table A-6 from IRS Publication 946 I come up with a different total than TT. I can see the TT used an average per year because each year alternates between 3.636 and 3.637 percent per year. But the table A-6 has years 2-9 at 3.636 only. So how am I supposed to explain how I came up with the numbers? See my table below. Do you think that what they are looking for is simpler as in this calculation?

$120,828 (cost basis) / 27.5 years = $4,394 (yearly depreciation) x .125 (convention) = 549 (1st year depr)

Do the attachments have to be on separate pages or can put the notes on one page?

Also, I'd like to see what Schedule E has for line 18 and 19. I'd like 19 to have a note in reference to form 3115. There are more than one item in the misc section though.

I've been working so hard to understand this and am so close to completion. Your help is really appreciated.

Attachment 4

Form 3115, Part IV, Line 26

Methodology Used to Determine the Section 481 (a) Adjustment

Cost basis: $128,978 (property cost basis) – $ 8,150 (land value) = $120,828

                                                                                               my calc           Turbo Tax

Unclaimed 2012 Depreciation $120,828 x 3.636% x 1.5/12 = $549   $549

Unclaimed 2013 Depreciation $120,828 x 3.636% = $4393              $4394

Unclaimed 2014 Depreciation $120,828 x 3.636% = $4393              $4394

Unclaimed 2015 Depreciation $120,828 x 3.636% = $4393              $4394

Unclaimed 2016 Depreciation $120,828 x 3.636% = $4393              $4394

Unclaimed 2017 Depreciation $120,828 x 3.636% = $4393              $4394

Unclaimed 2018 Depreciation $120,828 x 3.636% = $4393              $4394

Unclaimed 2019 Depreciation $120,828 x 3.636% = $4393              $4394

Unclaimed 2020 Depreciation $120,828 x 3.636% = $4393              $4394

Unclaimed 2021 Depreciation $120,828 x 3.637% = $4395              $4394

Unclaimed 2022 Depreciation $120,828 x 3.636% = $4393              $4394

Total Missed Depreciation                                               $44,481         $44,489

[DianeW777]

You are doing great! You can simply adjust your numbers to the TurboTax calculations because it's clearly fractions.  Attachments can be on one page as long as the information is clearly understandable.  The way you have it listed above is quite clear.

As far as your Schedule E, you should enter a description for the miscellaneous expense.  Example: Form 3115 Depr Capture

This will be self evident of the entry and add the form number so you know it is clearly labeled on your Schedule E.  You can print/review your return before you actually print it.

• Print my return in TurboTax Online