Example 49 During 2022, George places $3,300,000 179 property in service for use in his manufacturing business (all assets are new 7-year MACRS assets). What is George's maximum 179 deduction (ignoring the business income limitation)? 3,300,000-2,700,00=600,000 phaseout Maximum section 179 expense=1,080,000-600,000=480,000 What is George's total cost recovery deduction for 2022 if he elects to use the maximum 179 deduction? MACRS basis: 3,3000,000-480,000=2,820,000 through 2022 18

During 2022, George places $3,300,000179 property in service for use in his manufacturing business (all assets are new 7-year MACRS assets). What is George's maximum 179 deduction (ignoring the business income limitation)? 3,300,0002,700,00=600,000 phaseout Maximum section 179 expense =1,080,000600,000=480,000 What is George's total cost recovery deduction for 2022 if he elects to use the maximum 179 deduction? MACRS basis: 3,3000,000480,000=2,820,000