Quattro Enterprises, a calendar- year taxpayer, leases the twentieth floor of a building downtown. Due to employment expansion, it renovated the entire office space layout without changing the overall size of the office, spending $600,000 on these leasehold improvements. The office renovation was completed in May. Quattro also spent $1,000,000 on new computer systems and office furniture and fixtures in May on which the business used its entire Sec. 179 allowance for 2018. What is the maximum depreciation deduction available in 2018 for the leasehold improvements?

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The Answer of Quattro Enterprises, a calendar- year taxpayer, leases the twentieth floor of a building downtown. Due to employment expansion, it renovated the entire office space layout without changing the overall size of the office, spending $600,000 on these leasehold improvements. The office renovation was completed in May. Quattro also spent $1,000,000 on new computer systems and office furniture and fixtures in May on which the business used its entire Sec. 179 allowance for 2018. What is the maximum depreciation deduction available in 2018 for the leasehold improvements?

Quattro Enterprises, a Calendar- Year Taxpayer, Leases the Twentieth Floor