Enter a "1" in this field and an amount in the field for "Current Depreciation," for each asset in which accountant computed depreciation is desired.
Enter a "2" in this field and an amount in the field for "Current AMT," for each asset in which accountant computed depreciation is desired.
Enter a "3" in this field and amount in both the "Current Depreciation" and "Current AMT" fields to utilize the accountant computed depreciation for both.
The "Current ACE" amount can be forced in this section for assets placed in service prior to January 1, 1994. The ACE depreciation will equal the AMT depreciation for ALL assets placed in service after December 31, 1993.
A return wide election to force accountant computed depreciation amounts on ALL assets in the return is available on the Depreciation Options and Depletion Overrides worksheet. Enter the applicable code in the "Code to Force Accountant Computed Depreciation on All Assets" field. The entry of a code in this field will override, for this asset, any election made on the Depreciation Options and Depletion Overrides worksheet.
If an asset is subject to Section 263A rules, enter a code of "A" or add an "A" to the "Code to Force" entry (that is, "1A," "2A," "3A"). The "A" indicates the basis is to be included in the "Current Year Basis Attributable to Section 263A Costs" in the Summary section of Form 4562.
If only a portion of an asset basis is subject to Section 263A rules, then that portion must be entered as a separate asset.