Tax 670 Milestone One Bonus Depreciation and Extra Reduction.docx TAX670 Bonus Depreciat

Document Content and Description Below

Tax 670 Milestone One Bonus Depreciation and Extra Reduction.docx TAX670 Bonus Depreciation and Extra Deduction Southern New Hampshire University RESEARCH MEOMORANDUM Scott & Knight CPAs Prattvi... lle, AL 36067 44268 Ms. Nora Askew 633 Westview Dr. Conyers, GA 30012 Facts: Nora owns a C-C Bakery and is expanding her business and buying new and used equipment. She needs advice about bonus depreciation, the ability to take an extra deduction in one year, and whether the assets qualify. She plans to purchase a new $10,000 oven, a new $5,000 bakery display case, a new $7,000 refrigerator, and freezer, a $5,000 used commercial mixer. Additionally, she plans to make some leasehold improvements to the building and roof prices at $20,000. Issue: How much bonus depreciation and extra deductions can Nora claim on the purchase of the new and used properties and leasehold improvements? Authorities: IRC Section 167 IRC Section 179 IRC Section 168(e)(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . [Show More]

Last updated: 1 year ago

Preview 1 out of 4 pages