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Program does not take "Special Depreciation Allowance" under Cares Act changes

Level 1

Cares Act changes depreciation to 15 years on Qualified Improvement Property but when click that box to activate apply 15 year recovery period to qualified improvement property, it allows for entry of Special Depreciation Allowance, but when enter an amount under special depreciation allowance, no additional depreciation is taken.   Appreciate it if you can please inform how to obtain additional depreciation allowance for 2018 assets if filing under 2019 tax returns.

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Level 13

@KASHANICPA wrote:

 Appreciate it if you can please inform how to obtain additional depreciation allowance for 2018 assets if filing under 2019 tax returns.


You need to amend the 2018 tax return to claim Bonus Depreciation for Qualified Improvement Property.   The extra depreciation does not go on the 2019 return; in fact, the 2019 depreciation would be zero because the full amount of depreciation should be in 2018.

Level 1

you can use form 3115 to include on your 2019 tax return-