1. Election to expense certain depreciable business assets
Section 179 Expensing
Election to expense certain depreciable business assets

2. Sec. 179 Increased Amounts Extended
TIPRA of 2005 extended $100,000 maximum expenditure limit for 2 more years
Returns to $25,000 for tax years beginning after 2009
Inflation adjustments
2005 was $105,000
2006 is $108,000
12/29/2018
W L Hoover, Purdue University

3. Sec. 179 Increased Amounts Extended
TIPRA also extended $400,000 investment limit for 2 years
Returns to $200,000 for tax years beginning after 2009
Inflation adjustment
2005 limit was $420,000
2006 limit is $430,000
12/29/2018
W L Hoover, Purdue University

4. W L Hoover, Purdue University
Sec. 179 Income Limitation
Deduction limited to taxpayer’s taxable income from active conduct of trade or business
Taxable income from trade or business includes
Sec net gains
12/29/2018
W L Hoover, Purdue University

5. Sec. 179 Gulf Opportunity Zone Increases
Expenditure limit increased to $200,000
Investment limit increased to $1 million
$1.03 million in 2006
Placed in service on or after August 28, 2005 and before January 1, 2008
12/29/2018
W L Hoover, Purdue University