c. Calculate the amount of accelerated depreciation for 2010 that Mike could deduct using MACRS.?

Question

. Mike purchased a heavy-duty truck (five year class recovery property) for his delivery service on April 30,2008. The truck is not considered a passenger automobile for purposes of the listed property and luxury automobile limitations. The truck has a depreciable basis of $39,080 and an estimated useful life of 5 years. Its estimated salvage value is $1,080.Assume no election to expense is made and bonus depreciation is taken.
a. Calculate the amount of depreciation for 2008 using financial accounting (not the straight-line MACRS election) straight-line depreciation over the truck’s estimated useful life. $ 39080-1080/60*8=5067
b. Calculate the amount of depreciation for 2008 using the straight-line depreciation election under MACRS over the minimum number of years $
c. Calculate the amount of accelerated depreciation for 2008 that Mike could deduct using the Modified Accelerated Cost Recovery System

Answer 1

Go to the www.irs.gov website and use the search box for Prior Year forms and instructions.



apps.irs.gov/app/picklist/list/priorFormPublication.html



Enter a term in the Find Box.

Select a category (column heading) in the drop down.

Click Find.



Form 4562 Depreciation and Amortization 2008

Inst 4562 Instructions for Form 4562, Depreciation and Amortization 2008



apps.irs.gov/app/picklist/list/priorFormPublication.html;jsessionid=xNyVVDmSUh3Lwt7d8aAXqw__?value=4562&criteria=formNumber&submitSearch=Find



Hope that you find the above enclosed information useful. 06/02/2013

Answer 2

MACRS requires you to use half yr procedure, which means that the the deprecation for the 12 months of acquisition is handiest half of the straight line price. For a 5 yr category object, you will want whole of six years to deprecate. By using utilizing st right line depreciation 260,000/5= fifty two,000 a 12 months consequently yr 1 (keep in mind half of 12 months approach fifty two,000/2)$26,000 year 2 whole 12 months deprecation $52,000 yr three entire yr deprecation $fifty two,000 yr four whole year deprecation $fifty two,000 yr 5 entire 12 months deprecation $fifty two,000 yr 6 half of year deprecation $26,000

Answer 3

accelerated? there isn't a faster way to depreciate than the 179 deduction