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Kay Smart operates a cosmetic manufacturing business. During 2018, the business placed in service $810,000 of...

Kay Smart operates a cosmetic manufacturing business. During 2018, the business placed in service $810,000 of property eligible for limited expensing under § 179. Ms. Smart wisely elected §179. The maximum amount that she can expense under § 179, assuming she otherwise qualifies, is

a. $0.

b. $250,000.

c. $810,000.

d. $1,000,000.

e. $240,000.

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Answer #1

c 810,000

179 increased the maximum deduction from $500,000 to $1 million. Since the amount of property placed in service is $810,000 the whole can be claimed as expense.

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