Question
A taxpayer placed 7-year property in service in April 2017. This equipment cost $1,500,000. The taxpayer elects to take the maximum expense allowed under Section
A taxpayer placed 7-year property in service in April 2017. This equipment cost $1,500,000.
The taxpayer elects to take the maximum expense allowed under Section 179. This is the only asset purchased in 2017.
What is the amount of the 179 deduction on the equipment?
What is the basis for MACRS depreciation of the equipment in 2016?
How much depreciation will be taken on the equipment in 2017?
How much depreciation will be taken on the equipment in 2018?
DO NOT CONSIDER BONUS DEPRECIATION
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Using Microsoft Excel and Access 2016 for Accounting
Authors: Glenn Owen
5th edition
1337109048, 1337109045, 1337342149, 9781337342148 , 978-1337109048
