Section 743(b) adjustments

UltraTax CS automatically calculates Section 743(b) amounts based on assets you enter in the Asset module that are marked as such. To indicate an asset is a 743(b) adjustment open the asset in the
Asset
module. Go to the
Other
tab and select
Section 743(b) adjustment (1065 only)
.
To include those assets on partner's Schedule K-1s, specially allocate the depreciation for the Section 743(b) assets.
If you need to override calculations for Section 743(b) adjustments, go to the
SepK
screen in the Schedule K folder. Enter positive or negative adjustments in the
Income (Loss)
and/or
Deductions
section, respectively.
If you're making optional or required basis adjustments, go to the
OthInfo
screen in the General folder, and use the appropriate statement fields to provide the computation and allocation of the adjustment. Once complete, Form 1065, Schedule B, question 10b or 10c will say Yes.
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