CS-2024-0128
Look-back · §481(a)
InReview · all classifications locked
CR-002 reconciled · CR-004 §481(a) computed
Bayside Retail — depreciation & risk.
Run §168(k) bonus and the §481(a) cumulative catch-up against historical schedules pulled from QuickBooks. Resolve any flagged risks, then generate WorkpaperSet and Form 3115. Aggressive items will route to the CPA Partner via RiskResolution.
Depreciation schedule
§481(a) catch-up
Basis reconciliation
Risk register
Workpapers & Form 3115
Year-1 depreciation
$523,840
incl. §168(k) bonus 80%
§168(k) bonus depreciation
$402,720
on $503,400 5/7-yr basis
15-yr land improvements
$246,000
eligible for bonus
Lifetime present value
$874K
@ 25% federal · 4.5% disc.
| Asset class | Reclass basis | Year-1 MACRS | §168(k) bonus | Year-1 total | Method |
|---|---|---|---|---|---|
| 5-yr personal | $348,200 | $0 | $278,560 | $278,560 | 200% DB · HY |
| 7-yr personal | $155,200 | $0 | $124,160 | $124,160 | 200% DB · HY |
| 15-yr land imp. | $246,000 | $0 | $0 | $8,200 | 150% DB · HY |
| 39-yr real | $3,350,600 | $112,920 | $0 | $112,920 | SL · MM |
| Σ Total | $4,100,000 | $112,920 | $402,720 | $523,840 | — |
§481(a) cumulative catch-up — uses historical depreciation pulled from QuickBooks Online (DF-009 · last sync 4h ago). Cumulative adjustment will appear on Form 3115 §3.
| Tax year | Depreciation as filed | Depreciation as reclassified | Cumulative δ |
|---|---|---|---|
| 2021 (placed in service) | $52,564 | $132,800 | +$80,236 |
| 2022 | $105,128 | $216,400 | +$111,272 |
| 2023 | $105,128 | $198,020 | +$92,892 |
| §481(a) catch-up | $262,820 | $547,220 | +$284,400 |
Threshold breached: $284,400 exceeds the $250,000 disclosure threshold. Form 3115 §3 will require additional disclosure (Rev. Proc. 2015-13).
Add disclosure note
Original basis (CR-002)
$4,100,000
| Closing statement | $3,820,000 |
| FF&E invoices | $182,000 |
| AIA pay applications | $98,000 |
Σ classified amounts
$4,100,000
| 5-yr personalty | $348,200 |
| 7-yr personalty | $155,200 |
| 15-yr land imp. | $246,000 |
| 39-yr real property | $3,350,600 |
Variance: $0.00. Σ classified amounts equal original basis. CR-002 reconciliation passes.
Risk register
CD-003 · CR-003 risk score
Overall risk score
68 / 100
All · 7
Aggressive · 2
Moderate · 3
Conservative · 2
| Component | Position & contrary argument | Category | Conf. | Resolution | |
|---|---|---|---|---|---|
| Tenant-area millwork | Reclass to 5-yr personal property. Contrary: HCA limits decorative millwork to where it serves tenant equipment specifically. | Aggressive | 64% | CPA Partner | Open → |
| §481(a) cumulative | $284k cumulative adjustment exceeds $250k threshold (Rev. Proc. 2015-13 §3 disclosure). | Aggressive | 82% | CPA Partner | Open → |
| Specialty plumbing — restroom | 5-yr classification under Whiteco factor 5/6. | Moderate | 78% | Note logged | Edit → |
| Decorative awnings | 15-yr land improvements vs. 5-yr personalty — leans 15-yr. | Moderate | 76% | Note logged | Edit → |
| Site lighting | 15-yr land improvement. | Moderate | 89% | Note logged | Edit → |
| HVAC — building system | 39-yr §1250. | Conservative | 96% | Resolved | View → |
| Foundation | 39-yr §1250 — no question. | Conservative | 99% | Resolved | View → |
WorkpaperSet — 41 files
Component schedule · MACRS rollup · §168(k) · risk register · cited authorities matrix.
Generate & preview
Form 3115 §481(a) workpaper
$284,400 cumulative · §3 disclosure required (above $250k threshold).
Generate & preview
QuickBooks sync
DF-009 · historical depreciation
Audit trail
CR-005 immutable log
Saanvi Iyer ran §481(a) calculation. δ +$284,400.
12:14
System pulled QBO depreciation schedules.
11:58
Wei Liang route-forwarded from Take-off Editor.
Yesterday
Approval gate
A-020 → next state
Two Aggressive items remain unresolved. Approving will transition to RiskResolution and notify Asha Vance (CPA Partner).