This occurs, for example, if you buy property and later receive a refund of part of the original purchase price. You must then refigure the credit as if the decrease in basis was never part of the original basis. If your refigured credit is less than the credit you originally took, you must add the difference to your tax. Retirement or abandonment. You dispose of property if you abandon it or otherwise retire it from use.
Normal retirements are also dispositions.
Transfer due to death. There is no disposition of investment credit property if the property is transferred because the owner-taxpayer died. You are considered to have disposed of property you transferred by gift. Transfer between spouses. If you transfer investment credit property to your spouse, or you transfer the property to your former spouse incident to a divorce, you generally are not considered to have disposed of the property.