The Cox Accounting Firm places the following property in service during the 2014 tax year: Cox wants to obtain the maximum possible first year depreciation deduction for these property acquisitions including full utilization of the election to expense property under Section 179. Cox will report 2014 taxable income in the amount of $100,000 before consideration of depreciation on their 2014 property acquisitions. Cox elects out of bonus depreciation. What is the maximum combined amount of depreciation and Section 179 expense that may be obtained under this set of fact circumstances?

Question

The Cox Accounting Firm places the following property in service during the 2014 tax year:  Cox wants to obtain the maximum possible first year depreciation deduction for these property acquisitions including full utilization of the election to expense property under Section 179. Cox will report 2014 taxable income in the amount of $100,000 before consideration of depreciation on their 2014 property acquisitions. Cox elects out of bonus depreciation. What is the maximum combined amount of depreciation and Section 179 expense that may be obtained under this set of fact circumstances?

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The Answer of The Cox Accounting Firm places the following property in service during the 2014 tax year:  Cox wants to obtain the maximum possible first year depreciation deduction for these property acquisitions including full utilization of the election to expense property under Section 179. Cox will report 2014 taxable income in the amount of $100,000 before consideration of depreciation on their 2014 property acquisitions. Cox elects out of bonus depreciation. What is the maximum combined amount of depreciation and Section 179 expense that may be obtained under this set of fact circumstances?

The Cox Accounting Firm Places the Following Property in Service