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1065 & 3115

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    1065 & 3115

    I need a problem solved. PTRshp closed down 2015. Sold all assets.Did put $ in checking account.

    In calculating gain and loss I discovered that $11k worth of depreciation was not taken either due to oversight or changing in software. I have gone through all the depreciation schedules for the life of the partnership and it appears that only 2 assets represent 99% of this number. Ptrship totally shut down in 2015.

    Can I pu this lost dep as a negative adjustment as other deductions then show on 4797 the correct dep take including the lost dep or not take as an adjustment and let the 4797 show it as a loss? I am at a loss as to correct procedure or what would you do?

    All gain will be ordinary as just about everything was fully dep.

    Thanks for your help.

    #2
    Take the 481(a) adjustment from Form 3115 to 'catch up' on the depreciation, and put the full amount of depreciation on 4797.

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