Get Form 3885

Filling out Form 3885 is essential for corporations looking to calculate their California depreciation and amortization deductions. This comprehensive guide will walk you through the steps necessary to complete the form online efficiently and accurately.

Follow the steps to effectively complete Form 3885 online.

1. Click ‘Get Form’ button to obtain the form and open it for editing.
2. Begin filling out Part I if your corporation elects to expense certain property under IRC Section 179. Enter the total cost of all qualifying property placed in service during the year.
3. In Column (a), provide a brief description of each property you are electing to expense. In Column (b), state the cost of each property that will be used for business only.
4. Decide on the elected cost to expense in Column (c). Remember, you can choose not to expense the entire cost and can depreciate the remaining amount.
5. If applicable, move to Part II to calculate depreciation for assets. Enter each asset or group of assets, ensuring to consider the basis for depreciation after accounting for any elections made.
6. For Part II, specifically line 14, provide the necessary calculations for depreciation. If you are claiming additional first-year depreciation on qualifying property, note that maximum deductions here.
7. If your corporation has intangible assets subject to amortization, complete Part IV by indicating the relevant R&TC section for proper classification.
8. Once you have filled out all necessary sections and double-checked for accuracy, save your changes. You can then choose to download, print, or share the completed form.

Complete your Form 3885 online today for accurate tax calculations!