Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP Posting-Version: version B 2.10.1 6/24/83; site ecsvax.UUCP Path: utzoo!watmath!clyde!bonnie!akgua!whuxlm!harpo!decvax!mcnc!ecsvax!dgary From: dgary@ecsvax.UUCP (D Gary Grady) Newsgroups: net.micro Subject: Re: Deducting micros? Message-ID: <650@ecsvax.UUCP> Date: Tue, 5-Feb-85 10:29:53 EST Article-I.D.: ecsvax.650 Posted: Tue Feb 5 10:29:53 1985 Date-Received: Sun, 10-Feb-85 03:47:09 EST References: <636@ecsvax.UUCP> Organization: Duke U Comp Ctr Lines: 28 <> A few corrections and additions to my recent posting on deducting micros: First, I am now given to understand that the maximum amound deductable in one year on a micro system purchased prior to June 18 is $5000, not $7500 as I wrote. Second, I may have been wrong when I said that you must be able to substantiate that your micro is used at least 50% for business (on machines placed in service on or after June 18, 1984) in order to deduct it. I have seen one source that claims that with less than 50% use you can still deduct it, but you must depreciate it (instead of deducting the whole cost in one year) and you cannot get the investment tax credit. My feeling (and remember I'm not an accountant!!) is that if you bought the machine before June 18 and you can substantiate business use of x%, you're probably safe taking x% as an employee business expense in one year. If you plan to depreciate (for example, if you anticipate higher income in the future) or you bought it after June 18, most of us should have an accountant handle it. I mean, reading hex dumps is trivial compared to reading tax law... -- D Gary Grady Duke U Comp Center, Durham, NC 27706 (919) 684-3695 USENET: {seismo,decvax,ihnp4,akgua,etc.}!mcnc!ecsvax!dgary