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Tater Meer purchased a new car for use in her business during 2019 for $75,000. The auto was the only business asset she purchased during
Tater Meer purchased a new car for use in her business during 2019 for $75,000. The auto was the only business asset she purchased during the year and her business was very profitable. Calculate Taters maximum depreciation deductions for the automobile in 2019 and 2020 under the following scenarios: (Use MACRS Table 1, Table 2, and Exhibit 10-10.)
Description | 2019 Amount | 2020 Amount | |
(1) | Original basis of auto | ||
(2) | MACRS depreciation rate | ||
(3) | Full MARCS depreciation | ||
(4) | Maximum auto deprecitation | ||
Depreciation deduction for year |
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