No depreciation claimed? Wrong recovery period? A schedule you don’t trust? Get the history reviewed and find out whether Form 3115 can correct the shortfall.
Your schedule, property records and the years involved.
Confirm the correction, calculations and cost before work begins.
We rebuild the figures and prepare the agreed filing.
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A home became a rental, or a depreciable asset never reached the schedule. We review the filing history and determine which correction route is open.
Review my missing depreciationThe wrong property classification or recovery period can carry across several returns. We compare the treatment used with the treatment required.
Check my existing scheduleA study on an existing property may support a depreciation method change. We coordinate the study and applicable Form 3115 work within the agreed engagement.
Review my lookback opportunityCapital work, supporting invoices and the purchase allocation can reveal gaps. We distinguish basis issues from accounting method changes before recommending a filing.
Review my property basisOwnership and the type of change affect how the work is organized. We scope the applicants, properties and supporting schedules before preparation.
Discuss my property portfolioReconstruct depreciation actually deducted and depreciation allowable before the year of change. The calculation must connect with the corrected ongoing schedule.
Review my catch-up calculationTell us when the property went into service and what was claimed. We’ll identify the records needed to review the route.
Form 3115 requests a change in accounting method. For a qualifying depreciation correction, Section 481(a) brings the prior difference into the year of change.
That can avoid reopening each prior return. But the right procedure depends on the error, the filing history and the applicable eligibility rules.
Dimov Tax reconstructs what you claimed and what was allowable, establishes the correction route and prepares the agreed form and supporting schedules.
Check which correction I needThe type of error matters as much as the number of years. We establish the route before calculating the adjustment.
An impermissible method used on two or more consecutive returns generally requires an accounting method change rather than simply amending those returns.
Claiming no depreciation can itself establish an impermissible method. The property and change must still meet the applicable procedure’s requirements.
Review my filing historyA first-year issue, mathematical error or posting mistake may call for an amended return or another route. Some depreciation changes have special procedural rules.
Changes to basis, placed-in-service dates or elections are not automatically Form 3115 corrections.
Find out which route appliesThe Section 481(a) computation compares depreciation actually deducted with depreciation allowable before the year of change.
Reconstruct the filed deductions from the returns and schedules.
Apply the correct treatment to the substantiated depreciable basis.
Calculate the applicable adjustment and connect it to the corrected schedule.
A negative adjustment generally reduces taxable income in the year of change.
A positive adjustment generally increases taxable income over four years, subject to exceptions.
A qualifying adjustment may include differences from older years without separately amending each return. That is different from a refund claim for an old year, and eligibility still needs a review.
Review my catch-up opportunityA supported accounting method change has a specific job. It is not a substitute for missing evidence or a late election.
Some elections require a separate procedure. Form 3115 does not by itself reinstate an election or reverse a valid election out of bonus depreciation.
Purchase records, improvements and the land/building allocation support the calculation. We identify gaps before relying on the figures.
Ownership and the date eligible business or rental use began matter. No catch-up is created for property that did not qualify for depreciation.
The reconstruction, Form 3115 and ongoing depreciation schedule stay connected.
Review prior returns, depreciation schedules, purchase records and the date the property went into service.
Identify the error, applicant, year of change and applicable automatic or nonautomatic procedure. Agree the scope and fee.
Recompute the depreciation history, calculate the adjustment and prepare Form 3115 where appropriate.
Follow the required filing and duplicate-copy procedures where applicable, reflect the adjustment on the return and carry forward the corrected schedule.
Our team includes CPAs, Enrolled Agents, tax accountants and financial planning specialists. The depreciation history is reviewed alongside your property ownership and tax return.
CPA · President
CPA · Senior Tax Manager
EA, CPA · Senior Tax Accountant
EA, CPA
ACCA, DipIFR
CFP
MA
Tax Accountant
A valid adjustment and an immediately usable deduction are separate questions. Passive activity, basis, at-risk and other loss limits may affect the outcome.
For short-term rentals, average guest stay and material participation need a review. Real estate professional rules may provide another route in qualifying cases. We assess the facts before projecting current tax savings.
The fee follows the reconstruction and filing work. The size of the potential tax benefit does not set the quote.
How many years must be recomputed, and how complete the returns, schedules and acquisition records are.
The number of properties, the applicants and entities involved, and the type of change being made.
Whether cost segregation is part of the engagement, the proposed year of change and the return preparation required.
Not for a qualifying accounting method change. Form 3115 can use a Section 481(a) adjustment in the year of change. Other errors may require amended returns or a different procedure.
The calculation may include cumulative depreciation differences from the property’s earlier years of service. It is not simply limited to the usual amended-return refund window, but the change must qualify under the applicable rules.
No. A first-year issue may be corrected through an amended return, while some method changes have special rules. We review the actual error and timing before recommending a route.
Yes, where applicable. We scope the study, reconstruction, Form 3115 and return work together so the report and depreciation schedule agree.
Not necessarily. The applicant and the type of change govern the filing. Some properties can be included together; separate entities or changes may require separate work.
The original acquisition and placed-in-service rules, asset eligibility and elections determine the treatment. A later study does not automatically entitle every old asset to today’s rate.
Depreciation affects adjusted basis and can create recapture or other tax consequences on sale. We consider holding plans alongside the current adjustment, rather than assuming the deduction is a permanent saving.
Tell us when the property went into service, what was claimed and which years need attention. We’ll identify the records needed and explain the correction work and fee.
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(866) 681-2140The Dimov Tax team will review your details and contact you about the next step. If you need to add something, call (866) 681-2140.
