In the current year George,a college professor,acquired a computer system (5-year property)for $1,000 and used the computer 80% for teaching and research-related activities and the remaining 20% for personal use.Because George's employer provides him with a computer in his office at the university,the employer does not require him to have a computer at home.No election was made regarding Sec.179.The maximum depreciation deduction is
A)$0.
B)$200.
C)$160.
D)$800.

Question

Quizplus · Accepted Answer

A)In order for an employee to take a deduction for listed property used in employment-related activities,the property must be used more than 50% for trade or business and must be for the convenience of the employer and be required as a condition of employment.Since George is not required to purchase a computer for home,no depreciation is allowed.

In the Current Year George,a College Professor,acquired a Computer System