Help please! A little background first. My tax preparer claimed the depreciation deduction for the first time in 2018 on my Schedule C line 13 and completed Form 4562 with a recovery period of 5 years. Unfortunately he didn't claim the deduction in 2019 so now I'm amending my 2019 1040 return to claim it on Schedule C.
First question, do I need to file form 4562 again? Secondly, do I also need to file Maryland's form 500DM?
If so it's unclear to me specifically what values I'm to enter for the 500DM form.
Thanks for your response.
It depends. Form 4562 is required to be filed in any year when a new asset is placed in service for business use. If you do not have any new assets in 2019, then a Form 4562 is not required to be filed with your original or amended tax return for 2019. The deprecation amount calculated would simply continue to carry to your Schedule C each year.
Based on my review of the Maryland (MD) 500DM form, and your statement above about using a recovery period of 5 years, without the use of federal options for special bonus depreciation or section 179. If this is true then Form 500DM is not required to be used.