Roger started a new business in 2019 and purchases 3 year class property on February 14, 2019 in the amount of $120,000. On July 15, 2019, Roger purchases five year class property in the amount of $185,000. On December 15, 2019, Roger purchases $2,450,000 of 7 year class property. Assume Roger has $5,000,000 of net business income before consideration of any §179 deduction . Also assume that Roger does not elect straight-line depreciation. A. Assume Roger does not elect §179 treatment. Calculate Roger’s cost recovery for 2019. B. Assume Roger DOES elect §179 treatment. Calculate Roger’s cost recovery for 2019. C. Assuming a marginal tax rate of 37%, determine the tax benefit from electing §179 D. Read the actual IRC section 179. Print ONLY the small part that discusses estates and trusts. Does §179 apply to estates and trusts?
Roger started a new business in 2019 and purchases 3 year class property on February 14, 2019 in the amount of $120,000. On July 15, 2019, Roger purchases five year class property in the amount of $185,000. On December 15, 2019, Roger purchases $2,450,000 of 7 year class property. Assume Roger has $5,000,000 of net business income before consideration of any §179 deduction . Also assume that Roger does not elect straight-line
A. Assume Roger does not elect §179 treatment. Calculate Roger’s cost recovery for 2019.
B. Assume Roger DOES elect §179 treatment. Calculate Roger’s cost recovery for 2019.
C. Assuming a marginal tax rate of 37%, determine the tax benefit from electing §179
D. Read the actual IRC section 179. Print ONLY the small part that discusses estates and trusts. Does §179 apply to estates and trusts?
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