Can a Section 469(c)(7)(a) election be done in turbo tax - Election to Aggregate All Rental Real Estate Interests

[joenycpa]

Can a Section 469(c)(7)(a) election be done in turbo tax - Election to Aggregate All Rental Real Estate Interests"

[tagteam · Accepted solution]

" Can a Section 469(c)(7)(a) election be done in turbo tax"

Yes, it can. However, the election is not officially supported and will require the use of Forms Mode. Further, making the election will, most likely, require printing and mailing the return.

See https://images.turbotax.intuit.com/iqcms/support/new_lib/images/TY16/2016-Unsupported-Calcs-GEN12868...

[fpaz031]

What do you search for under 'Forms Mode' using TT Home & Business?

[tagteam]

You use the "Blank form" that is available in Forms Mode to make the election.

[enorton8]

Hey @tagteam thanks for that answer...it's now a year on but your answer is still standing 'recommended' so I'm going to address myself to it/you...my follow-on q: so, why do you say that making the election will "most likely" require printing & mailing? I've created the statement using a blank form, and TT seems to be letting me e-file...are you saying I should be wary of this? Wouldn't TT throw an error and prevent me from e-filing if it sensed a non-e-filable inclusion?

[tagteam]

It could very well be that the blank form (containing the election) would be e-filed along with rest of the forms.

However, given the importance of this particular election, I, personally, would not want to leave it to chance that the form was, in fact, transmitted in my tax package. Rather, I would feel much more comfortable knowing I had printed out the election form, inserted it in the proper order with my other forms, and mailed the package to the IRS.

[enorton8]

I get where you're coming from; thanks for coming back. And in the absence of a definitive positive 'yes, it would get e-filed fine' from an authoritative source at TT, I tend to agree. Then of course the q becomes—any ideas how one might best go about finding such a person and getting such a 'yes'? The explicit appearance of it on the 'unsupported calcs' doc you linked to, does make it feel like quite the long-shot, I grant you...

[tagteam]

Unfortunately, I do not have ideas in that regard but even if you managed to "get a yes", I would hardly consider that to be absolutely definitive without further confirmation (such as "we have actually sent a test file and the election form was transmitted"). Again, I would mail the return in the tax year of the election to be certain it was at least sent.

[hoyeman]

Is this blank form still available?  I am not finding it.

[Louie G]

I e-filed the whole return with the Blank Form filled out.  Annoying that we cannot change the title of the Blank Form.  My preview copy of the filed return showed the Blank Form at the end of the pack, before add'l info items.  Very interesting to see the 19 pages of items that Turbotax does not support.  Using Home and Business.

[TaxGuyBill]

I would HIGHLY recommend consulting with a tax professional before making that election.  Once you group them, you can't ungroup them, and there are negative consequences of that.

[Louie G]

I agree with you, TaxGuy.  Too much at stake to guess  !!  I did !

[tagteam]

" Is this blank form still available?  I am not finding it."

Yes, it is still available. Enter Forms Mode, click Open Form, expand the list, and scroll down to the Blank Form in the list of forms (see screenshot).

[hoyeman]

Once elected, how do you depreciate property used for all the businesses instead of just each individual one?

[Ellsun]

How to go back in Turbotax and ungroup them if you have finalized your return in Turbotax? Where do I find that election again?