Section 179 election on 15 year Qualifed improvement property is not given as an option but should be allowed

[mgeadscpa]

Cannot find an option for electing Sec 179 for the 15 year Qualified improvement proeprty

[mgeadscpa]

This option is not available in a trust return for 15 year  Qualifed improvement property. No Sec 179 option

[TaxGuyBill]

A Trust or Estate is not allowed to use Section 179:
https://www.irs.gov/instructions/i1041#idm140630131464016

[TaxGuyBill · Accepted solution]

Qualified Improvement Property is 39 years (at least until Congress fixes their error), but the entry for claiming §179 is where it always is: directly to the right of the "placed in service" date.

[Just-Lisa-Now-]

What's this screen and check box for?  I don't have any clients that have this type of property....but I figured that's what this was for.

[TaxGuyBill]

When Congress passed the Tax Cuts and Jobs Act, they MEANT for "Qualified Improvement Property" to be 15 years, but they neglected to actually put that in the Tax Code.

ProSeries presumably added that box so if/when Congress did a technical correction to change it to 15 years, we would have immediate access to use 15 years (which would then qualify for Bonus Depreciation).

[Just-Lisa-Now-]

ahhh, ok

[abctax55]

@TaxGuyBill
I have two MAJOR returns that I'm sitting on, waiting for guidance.  It's driving me nuts.