California Form 3885l - Depreciation And Amortization

TAXABLE YEAR

CALIFORNIA FORM

2014

3885L

Depreciation and Amortization

Name as shown on return

California Secretary of State (SOS) file no.

FEIN

Assets and intangibles placed in service during the 2014 taxable year:

Depreciation of assets

Amortization of property

(a)

(b)

(c)

(d)

(e)

(f)

(g)

(h)

(i)

Description of property

Date placed

Cost or

Method

Life or

Depreciation for

Code

Period or

Amortization to

in service

other basis

of figuring

rate

this year

section

percentage

this year

(mm/dd/yyyy)

depreciation

1 Enter line 1, column (f) and column (i) totals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

Depreciation

Be sure to make adjustments for any basis differences when calculating depreciation.

2 California depreciation for assets placed in service beginning before the 2014 taxable year. . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

3 Total California depreciation. Add line 1(f) and line 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

Amortization

Be sure to make adjustments for any basis differences when calculating amortization.

4 California amortization for intangibles placed in service beginning before the 2014 taxable year . . . . . . . . . . . . . . . . . . . . . . . . 4

5 Total California amortization. Add line 1(i) and line 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

6 Total depreciation and amortization. Add line 3 and line 5. Enter the total here and on Form 568, Schedule B, line 17a,

if from a trade or business, or on federal Form 8825, line 14, if from rental real estate activities . . . . . . . . . . . . . . . . . . . . . . . . 6

7 IRC Section 179 expense deduction from line 12 of the worksheet in the instructions . . . . . . . . 7

8 Carryover of disallowed deduction to 2015 from line 13 of the worksheet in the instructions . . 8

General Information

B Federal/State Calculation Differences

In general, for taxable years beginning on or after January 1, 2010, California

California law has not always conformed to federal law with regard

law conforms to the Internal Revenue Code (IRC) as of January 1, 2009.

to depreciation methods, special credits, or accelerated write-offs.

However, there are continuing differences between California and federal

Consequently, the recovery periods and the basis on which the depreciation

law. When California conforms to federal tax law changes, we do not always

is calculated may be different from the amounts used for federal purposes.

adopt all of the changes made at the federal level. For more information, go

Reportable differences may occur if all or part of your assets were placed in

to ftb.ca.gov and search for conformity. Additional information can be found

service:

in FTB Pub. 1001, Supplemental Guidelines to California Adjustments, the

• Before January 1, 1987: California disallowed depreciation under the

instructions for California Schedule CA (540 or 540NR), and the Business

federal Accelerated Cost Recovery System (ACRS). Continue to calculate

Entity tax booklets.

California depreciation in the same manner as in prior years for those

The instructions provided with California tax forms are a summary of

assets.

California tax law and are only intended to aid taxpayers in preparing their

• On or after January 1, 1987: California provides special credits and

state income tax returns. We include information that is most useful to the

accelerated write-offs that affect the California basis for qualifying assets.

greatest number of taxpayers in the limited space available. It is not possible

California does not conform to all the changes to federal law enacted in

to include all requirements of the California Revenue and Taxation Code

1993. Therefore, the California basis or recovery periods may be different

(R&TC) in the tax booklets. Taxpayers should not consider the tax booklets

for some assets.

as authoritative law.

California law does not conform to the federal law for:

A Purpose

• IRC Section 168(k) relating to the 50% bonus depreciation for

certain assets.

Use form FTB 3885L, Depreciation and Amortization, to compute

• The enhanced IRC Section 179 expensing election.

depreciation and amortization allowed as a deduction on Form 568, Limited

Liability Company Return of Income. Attach form FTB 3885L to Form 568.

• The additional first-year depreciation of certain qualified property

placed in service after October 3, 2008, and the election to claim

Depreciation is the annual deduction allowed to recover the cost or other

additional research and minimum tax credits in lieu of claiming the

basis of business or income producing property with a determinable useful

bonus depreciation.

life of more than one year. Land is not depreciable.

Amortization is an amount deducted to recover the cost of certain capital

expenses over a fixed period.

FTB 3885L 2014

7651143

California Form 3885l - Depreciation And Amortization - 2014

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