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Public Act 102-16 amended Section 203 of the Illinois Income Tax Act to decouple Illinois from federal 100 percent bonus depreciation for tax years ending on or after December 31, 2021.
Line 26: Assets you use more frequently for business than for personal use should be listed here. Line 27: Assets you use more frequently for personal use than for your business should be listed here.
Form IL-4562, Special Depreciation, should be filed by taxpayers who file an income or replacement tax return and report special depreciation on their federal Form 4562, Depreciation and Amortization, or Form 2106, Employee Business Expenses.
To force Form 4562 to generate when not required: Go to the Input Return tab. Open the Depreciation input. For a 1040 return: on the left-side menu, select Deductions and then Depreciation. Select the blue Misc. link in the upper right corner. Enter 1 in Form 4562 options: 1=yes, 2=no [Override]
Use Form 4562 to: Claim your deduction for depreciation and amortization. Make the election under section 179 to expense certain property. Provide information on the business/investment use of automobiles and other listed property.