Listed property rules include the following:
I.If listed property is not predominantly used in the taxpayer's business, the business-use portion of the asset cannot be depreciated.
II.If more than 50 percent of the listed property's total use for each year is related to the taxpayer's business, the asset is treated the same as any other mixed-use business asset.
III.When listed property is used 50% or less in the taxpayer's business, the Section 179 expense election does not apply to the asset.
IV.Listed property includes passenger automobiles and trucks.

A)Statements I and III are correct.
B)Only statement IV is correct.
C)Statements II and III are correct.
D)Statements II, III, and IV are correct.
E)Statements I, II, III, and IV are correct.

Question

Listed property rules include the following:
I.If listed property is not predominantly used in the taxpayer's business, the business-use portion of the asset cannot be depreciated.
II.If more than 50 percent of the listed property's total use for each year is related to the taxpayer's business, the asset is treated the same as any other mixed-use business asset.
III.When listed property is used 50% or less in the taxpayer's business, the Section 179 expense election does not apply to the asset.
IV.Listed property includes passenger automobiles and trucks.
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A)Statements I and III are correct.
B)Only statement IV is correct.
C)Statements II and III are correct.
D)Statements II, III, and IV are correct.
E)Statements I, II, III, and IV are correct.

Quizplus · Accepted Answer

Statements II, III, and IV are correct. Statement I is incorrect because even if listed property is not predominantly used in the taxpayer's business (less than 50%), the business-use portion can still be depreciated, but under the straight-line method rather than accelerated methods.

Listed Property Rules Include the Following