Item 5     Xavier bought furniture and fixtures (7-year property) on September 15, 2023, for $1,185,000. He elects to expense as much as possible under Section 179 but does not elect the 100% bonus. Xavier's earned income for the year is $1,200,000. What is the maximum deduction Xavier can take in 2023 for the equipment?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Item 5

 

 

Xavier bought furniture and fixtures (7-year property) on September 15, 2023, for $1,185,000. He elects to expense as much as possible under Section 179 but does not elect the 100% bonus. Xavier's earned income for the year is $1,200,000. What is the maximum deduction Xavier can take in 2023 for the equipment?

 

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