Since 2004, the Gross Income Tax Depreciation Adjustment Worksheet GIT-DEP is used to calculate the New Jersey depreciation adjustment required for assets for which any of the following criteria apply:
- Federal Section 179 expense was deducted;
- Federal Special Depreciation Allowance was deducted;
- Federal income includes Section 179 recapture income;
- Federal income includes a gain or loss from disposition of an asset for which a New Jersey depreciation adjustment was previously required.
Worksheet GIT-DEP is not included in TaxSlayer Pro. It can be downloaded from the New Jersey DOT website here, filled in, and printed for your files.
Reporting the adjustment in TaxSlayer Pro
To adjust the income from a business (reported on federal Schedule C) or a farm (reported on federal Schedule F) in the New Jersey individual income tax return, from the New Jersey Tax Return Menu select:
- New Jersey Gross Income
- Net Profits from Business - Select the business or farm that needs adjusting.
- Net Federal Income (Loss) - Enter the adjusted net income or loss, taking into account the calculation result on Worksheet GIT-DEP line 7.
To adjust the income from rental property (reported on federal Schedule E) in the New Jersey individual income tax return, from the New Jersey Tax Return Menu (Full-Year Resident or Part-Year Resident) select:
- New Jersey Gross Income
- Net Gain or Income from Rents, etc. - Select the property that needs adjusting.
- Net Federal Income (Loss) - Enter the adjusted net income or loss, taking into account the calculation result on Worksheet GIT-DEP line 7.
To adjust the income from a business (reported on federal Schedule C) or a farm (reported on federal Schedule F) in the New Jersey individual income tax return, from the New Jersey Nonresident Tax Return Menu select:
- Gross Income
- Net Profits from Business - Select the business or farm that needs adjusting.
- Net Federal Income (Loss) - Enter the adjusted net income or loss, taking into account the calculation result on Worksheet GIT-DEP line 7.
To adjust the income from rental property (reported on federal Schedule E) in the New Jersey individual income tax return, from the New Jersey Tax Return Menu (Full-Year Resident or Part-Year Resident) select:
- Gross Income
- Net gain or income from rents, etc. - Select the property that needs adjusting.
- Net Federal Income (Loss) - Enter the adjusted net income or loss, taking into account the calculation result on Worksheet GIT-DEP line 7.
Additional Information: