Question

Janice purchases a computer for her business costing $3,400

deductible? (yes / no)?

if deductible, amount $?

Reason?

Answer 1

Question

Answers

Deductable / not

Yes

Amount of deduction

$ 3400

Reasons

if a computer is purchased for own business, you can deduct the entire amount in the 1st year itself instead of depreciated each year

Under Section 179, you can deduct in a single year the cost of tangible personal property (new or used) that you buy for your business, including computers

If you used the computer for personal and business use, only proportionate deduction available, it is assumed that the computer is used only for business prupose