Section 754 Depreciation

Where is section 754 depreciation from a K1 form 1065(Partnership) line 11 used for filling federal income taxes? Turbotax used it on Schedule A as a misc subject to 2% AGI limit but the accountant that filled out the form told me it should go on Schedule E where it is not limited by 2% AGI?

I agree with the accountant: the depreciation is a partnership expense that should be deducted on Sch E.