In 2023, Tish acquires and places into service in her business 7-year MACRS property costing \($40,000\) and 5-year MACRS property costing \($165,000.\) Tish elects Sec. 179 expensing for all of the properties’ cost. Tish’s taxable income (before the Sec. 179 and 50% of self-employment tax deductions) is \($160,000\).

a. What amount may Tish deduct under Sec. 179 for 2023 for the properties? What amount can she carry over to 2024?

b. What is Tish’s total 2023 depreciation deduction?

c. What are the limitations on Tish’s ability to use the Sec. 179 carryover in 2024?

d. How would your answers to Parts

a, b, and c change if Tish’s 2023 business taxable income was \($300,000\) instead of \($160,000\)?