Final answer:
A new delivery truck qualifies for bonus depreciation, making it eligible for an immediate and significant deduction. Thus he correct answer is E. All of these.
Step-by-step explanation:
Assets eligible for bonus depreciation include new and used property with a recovery period of 20 years or less. This encompasses options A, B, C, and D. Used office machinery (Option A) and used office furniture (Option D) qualify if they meet the criteria.
Qualified leasehold improvements (Option B) are also eligible. However, it's crucial to note that bonus depreciation generally applies to new property, and in this context, a new delivery truck (Option C) falls under this category. Therefore, all the given options, A through D, are eligible for bonus depreciation.
Bonus depreciation allows businesses to deduct a substantial portion of the asset's cost in the year it is placed in service. For used assets, bonus depreciation was historically limited to new property, but recent tax legislation has expanded its applicability to used assets as well.
The percentage of bonus depreciation can vary, and as of my last knowledge update in January 2022, it was 100% for qualified property. It's important to consult the latest tax regulations or seek professional advice for the most current information.
In conclusion, businesses can benefit from bonus depreciation on a wide range of assets, including both new and used office machinery, qualified leasehold improvements, a new delivery truck, and used office furniture.