Depreciation Schedule

[Lion]

Preparing a new-to-me 1065. His depreciation schedule lists 21 items. All but one are completely depreciated. Would you type in the one or the 21? By the way, I'm also learning new software, so it's more time-consuming this year to put in the right codes, etc. I'm a decent typist so if this were next year when I'm more familiar with my software, I'd put in everything in sight.

[Koss]

Fully Depreciated

The most compelling reason to put in the property that is fully depreciated is that it will save you some time and headache if and when those assets are disposed of.

But if they are likely to be withdrawn from service in a way that does not require Form 4797, then there may be no value in entering that data.

[Lion]

Thank you

Thank you, Burton. It's a couple of old laptops that are in a bottom desk drawer and second-hand office furniture that will continue in use in his basement office as long as it doesn't fall apart. Think I'll just type in the one asset. It's almost April, and I have lots more to do.

[TaxLadyinPA]

What I do is...

By taking the time to put it in, it could benefit you in the future when they sell any of it or close the Ptr. and must distribute assets.

Go over the list with the client. Some items may not even exist any more (i.e. broken, trashed, junked, tossed away) Those items you could then ignore and cross off the list..

You could keep making a copy of this depreciation page every year and attach it to the returns of both you and the clients and then enter what you need in a year they sell, etc.

I prefer to get it into my software program and then if they sell I can let the program do the work of the sale.

Clients tend to forget to tell you each year when they sell an asset. I go over the depreciation schedule with all clients asking about each item (including those totally depreciated) if they sold them or destroyed them, etc.

I usually get an *Oh yeah .. I forgot we sold that last year*

[Lion]

Converting to S-Corp

Which brings up something they told me...for 2008 they're converting to an S-Corp. So, guess I'll be typing everything into my program next year anyway. Maybe, I'll put it all in when I start 2008. Or, maybe I'll put it in this summer in the 2007. Or, maybe I'll join my hubby watching John Adams; he said I just missed a really steamy sex scene in Paris after they'd been apart for seven years!

Thank you everyone for letting me know what you'd do and why.

[veritas]

John Adams

I'd like to watch it. Where can I find it?

[Lion]

Hbo

The small amounts I've watched during tax season have been absolutely fabulous. It's a mini-series on HBO with each episode running at various times. Sure hope they run it again from the beginning this summer or sometime after tax season!

[Lion]

Friday

Husband just saw that HBO is rerunning the first four episodes back-to-back this Friday. Not sure how many episodes in series.

[Lion]

Capitals

Has anyone noticed that even if you type your Title in all caps, this board turns it into initial cap only? I guess I'm not as aware as I wish I were right now, but at least I finally noticed that.

[veritas]

Darn

I just cancelled HBO. There didn't seem to be a reason to have it since they stopped producing the Sopranos.

[veritas]

Don't most states

have personal property tax?

I would enter the items seperately so you can review them yearly for deletions/sales.

We use the depreciation schedule from our tax software to report items to the county.

Frankly It's a PITA when I get a tax return from a previous accountant that grouped items and secondly doesn't put a depreciation schedule in the client's copy.