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what are the rules related to a section 179 deductions? why would an individual decide to...

what are the rules related to a section 179 deductions? why would an individual decide to take this deduction? discuss some reasons why it would not be advantageous.

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Answer #1

Deduction under section 179 includes deduction for some tangible assets like plant and machinery, equipments, properties etc. If you have done any improvement or repairs to a building or property, you can claim that amount as deduction.It is aimed at helping the small and medium class businesses.

The disadvantage of section 179 is that, to get that statutory deductions business will spent amount on unnecessary improvements and eventually that will effect the business. Also this deduction will not have much effect on large business, because of the limit that can be claimed.

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