The reason CA depreciation had issue was, in 2020 locator, CA IRC 179 left blank, when it rollover into 2021 locator. Those assets with blank CA IRC 179 will be filled with Federal IRC 179 deduction, which makes CA Dep not tie with PY. To avoid this, instead of leave CA 179 blank, we need to either input the correct amount for PY 179 deduction for CA, or we input "NONE" to indicate we didn't deduct any 179 dep for this asset in CA.
Here are the steps to do it. When there are many assets, exporting and importing will speed the process. However, there are fewer assets, it can be fixed directly in organizer. Please see the last screenshot where to enter manually input.
- Export asset template from 2021 GST returns, and update template based on 2020 CA depreciation.
2. column DE (input P or C to indicate prior year or current year 179 expense year, normally input "P")
3. column DJ (to indicate 179 exp reduction in basis, use 1E-150 to indicate "None")
4. column DK (to indicate PY ending accumulated depreciation)
5. Reimport the template into GST 2021 return thru Return Processing and full recompute, then it should tie with PY TR ending number.
For fewer assets, to fix it directly in organizer, please see below screenshots, need to manually input the correct accumulated depreciation and click "Prior Year" and input "None" or correct amount for CA IRC 179 under CA Asset detail page.
Organizer/States/California/ State Depreciation/ General Depreciation and Amortization/ Select asset
