Question

In 2016, Gail had a § 179 deduction carryover of $30,000. In 2017, she elected § 179 for an asset acquired at a cost of $115,000. Gail's § 179 business income limitation for 2017 is $140,000. Determine Gail's § 179 deduction for 2017.

a. $25,000
b. $115,000
c. $130,000
d. $140,000
e. None of the above

Answer 1

d. $140,000

Step-by-step explanation:

§ 179 deduction for 2017 = $115000 + $25000

= $140,000.

Therefore, Gail's § 179 deduction for 2017 is $140,000.