- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
In 2021 old preparer took the 179 deduction for taxpayers truck
In 2022 old preparer took standard deduction for truck and not actual expense
I now have their papers as the old preparer passed away. Taxpayer brought in a copy of his 2022 taxes where I saw the standard deduction was used and was continuing that with 2023. The taxpayer was saying how 2 years ago the old preparer wrote off the whole truck with the 179 and that is when I asked for a copy of the year before.
When doing the 179 don't you have to take actual expenses?
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
The reason you can't take standard deduction if you expense the first year, is deprecation is included in the standard mileage, and you already took all of in the first year
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
I thought that. I am just not sure why the old preparer did it different each year
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
@Terry53029 wrote:
The reason you can't take standard deduction if you expense the first year, is deprecation is included in the standard mileage, and you already took all of in the first year
Even if they did not take all of the depreciation in the first year, the Standard Mileage Rate would still not be allowed. That election out of MACRS is only allowed in the first year.