I know CA(and many other states) do not conform to federal bonus depreciation.
If the investment is in CA, the CA K-1 takes care of all the adjustments needed to the rental income(loss).
So If I get an out of state K1 that uses bonus depreciation, how do I figure out the adjustment to CA rental income (by removing the bonus depreciation)?
This time I found the following footnote from one of the K-1.
SELECT STATES DO NOT CONFORM TO FEDERAL BONUS DEPRECIATION
UNDER CODE SECTION 168(K). IF YOU ARE A RESIDENT OF A
NONCONFORMING STATE, YOUR ADDBACK ADJUSTMENT TO SCHEDULE K-
1, BOX 2 "NET RENTAL REAL ESTATE INCOME (LOSS)" IS: $XXXXX.XX
For another investment that was made in 2020, K-1 did not have this information.
What is the responsibility of the taxpayer when bonus depreciation information is not available in the out-of-state K-1?
Anyone has faced this or has any pointers?
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