Computer Depreciation

[MAMalody]

Boy, I hate today. All of a sudden those returns that did not send backk the 8879 have all kinds of "adjustments" for info they never gave me. Jeez. Good thing only about 18 or 19 of them..My brain is frozen though. Do I remember that computer can be expenses up to $5000 in cost?.I have not had that this year, however, I thought I saw some type of change for 2012/2013. Sorry for such a dumb question.

[Guest Taxed]

Not aware of any special $5000 limit on computer for sec 179 purpose. There are some requirements for software that you want to do a sec 179 I seem to recall.

If you want to depreciate it is a 5 yr MACRS schedule.

[Mr. Pencil]

Do I remember that computer can be expenses up to $5000 in cost?.

We finally do have a de minimus amount for expensing new acquistions! The final regs for section 162 aren't effective until 2014. Supposedly we can also apply them to 2012 and 2013 but IRS hasn't issued instructions yet for making the retroactive election.

The maximum safe harbor is five hundred dollars per invoice. The five thousand you remember is only available to companies with AUDITED financial statements and a procedural manual for accounting.

[MAMalody]

Thanks. I appreciate the clarification.