Reclaim missed depreciation and optimize your tax strategy using Form 3115, all without the hassle of amended returns. Get expert guidance for seamless financial adjustments.
Missed out on deductions in previous years? Do you think you need to amend your tax returns? That's slow and risky. But there's a smarter way...
IRS Form 3115, titled “Application for Change in Accounting Method,” is the IRS-approved way to change your accounting method and retroactively claim deductions (like depreciation or repairs) without amending returns. It’s often used to “catch up” on missed depreciation or reclassify assets for better tax treatment without amending prior returns. It’s especially powerful after a cost segregation study, ensuring that they remain compliant with IRS regulations while also optimizing their tax situation.
Situations where you can use Form 3115:
In the world of accounting, businesses frequently need to adjust their accounting methods for various reasons. Whether it’s to comply with new tax regulations, improve financial reporting accuracy, or align with industry standards, the process of changing accounting methods requires a formal application. Form 3115 is the IRS document that businesses use to request approval for such changes.
Taxpayers (individuals, businesses, partnerships, corporations, trusts, estates) that have changed their accounting methods
The savings will vary depending on the reason for completing Form 3115. This form ensures that you are following all tax laws to get approval for the particular credit, deduction, or other savings that you are claiming.
→ $742K in catch-up deductions using 3115
→ $91K depreciation reclaimed in a single year
→ $480K in retroactive depreciation via Cost Segregation
Form 3115 provides businesses with the opportunity to correct past tax errors and claim missed deductions without the need to file amended returns. Here’s why Specialty Tax Advisors is the right choice for your business:
We specialize in navigating IRS procedures and ensuring that your use of Form 3115 is fully compliant with tax regulations, allowing you to correct tax errors efficiently and effectively.
We understand that each business is unique. Whether you're a real estate investor, a medical office owner, or a multifamily property owner, we tailor our approach to ensure you maximize tax savings tailored to your specific needs.
Our experience speaks for itself. We've helped numerous clients reclaim substantial deductions, including large real estate portfolios and medical offices, saving them significant amounts in taxes.
With our help, you can smoothly transition to a better tax method, reclaim missed depreciation, and unlock retroactive deductions—all without the complexity or risk of amended returns.
By using Form 3115, we help reduce the risk of triggering audits that come with amended returns. We ensure that your changes adhere to IRS-approved methods, protecting your business from further scrutiny.
Our process ensures that you can reclaim deductions, adjust your accounting methods, and stay compliant without the stress of dealing with complex forms or potential tax audits.
You may need to file Form 3115 if your business wants to change how it handles certain tax deductions, like depreciation or repairs. This form helps you adjust your accounting method without changing previous tax returns.
Yes! If you missed some deductions in past years, Form 3115 allows you to fix those mistakes without needing to file amended returns. You can still claim the deductions you missed.
Filing Form 3115 is generally safe, but there’s always a small chance the IRS will review your request more closely. It’s essential to ensure that everything is done correctly and supported by the proper documentation.
Once you use Form 3115 to change your accounting method, you’ll need to use that new method for future tax filings. This could alter how you claim deductions and report expenses, so it’s essential to understand the long-term implications.
Form 3115 should be filed with your tax return for the year when you want the change to take effect. Make sure you file it on time to ensure the IRS processes your change correctly.
Nope. Form 3115 allows you to correct it without amending, and the IRS prefers this approach.