Woolard Supplies (a sole proprietorship) has taxable income in 2021 of $300,000 before any depreciation deductions (Section 179, bonus, or MACRS) and placed some office furniture inte service during the year. The furniture does not qualify for bonus depreciation. Asset Placed in Service Basis Office furniture (used) June 5 $1,300,000 If Woolard elects the maximum amount of Section 179 for the year: a. What is the amount of MACRS depreciation expense for the year? b. What is the amount of deductible Section 179 expense for the year?

Woolard Supplies (a sole proprietorship) has taxable income in 2021 of $300,000 before any depreciation deductions (Section 179, bonus, or MACRS) and placed some office furniture inte service during the year. The furniture does not qualify for bonus depreciation. Asset Placed in Service Basis Office furniture (used) June 5 $1,300,000 If Woolard elects the maximum amount of Section 179 for the year: a. What is the amount of MACRS depreciation expense for the year? b. What is the amount of deductible Section 179 expense for the year?

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter10: Cost Recovery On Property: Depreciation, Depletion, And Amortization

Section: Chapter Questions

Problem 24P

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am. 119.
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