You need to file form 3115 which you can do in the desktop version of TurboTax.
In the desktop version of TurboTax, use these menu options to find form 3115:
- View
- Forms
- Open Form
- Type “3115” in the query box
- Select “Form 3115 Change in Accounting Method” and start with page 1 3
Complete these lines and boxes on form 3115:
- Tax year of change: enter current year
- Type of applicant: choose what type of entity you are
- Type of accounting method change: Depreciation or amortization
- Part I, question 1(a) DCN code 7
- Answer questions 2 and 3 in Part I
- Answer questions in Parts II and III
- Answer “NO” to Part IV question 25
- Enter the depreciation adjustment amount on line 26
- Answer “Yes” to line 27 and check the appropriate de minimis election box entry
- Answer question 28
- Skip to Page 8, Schedule E “Change in Depreciation or Amortization” and complete that section
Attach form 3115 to the tax return for the year of the change, along with a statement describing the property subject to the change. Include the year the property was placed in service and the property’s use in the applicant’s trade, business or income-producing activity.
Review questions 5 – 7 for additional disclosure requirements. Mail a copy of form 3115 and the disclosure statement to the address in the instructions to form 3115.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
