mhs1826
Level 2
3 weeks ago
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
Can you take Bonus Depreciation on a piece of equipment (Table Saw) that was originally purchased by the taxpayer prior to forming a business and converted to business use in 2024?
I know that Sec 179 can't be used but I haven't found anything so far that categorially states Bonus Depreciation can be utilized. Thanks.
Labels
3 Comments 3
TaxGuyBill
Level 15
3 weeks ago
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
Yes, you can use Bonus.
Terry53029
Level 14
3 weeks ago
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
Like Bill said you can use bonus Depreciation, but for 2024 it is only 60%. You could also elect for the de minimis safe harbor election as it allows you to expense items under $2,500 you would normally capitalize. If you take this election, you are forced to expense every item under $2,500 and are not allowed to depreciate them.