US Business Equipment Depreciation Tax Estimator
Select the tax year the equipment was purchased AND placed in service.
Enter the purchase cost of the equipment.
Common recovery periods for business equipment.
Selecting Section 179 or Bonus Depreciation can allow for accelerated depreciation in the first year. Bonus Depreciation is generally automatic unless you elect out.
Estimated First-Year Depreciation Deduction ()
Equipment Cost: $0.00
Asset Type / Recovery Period:
Section 179 Election: No
Bonus Depreciation Election: No
Potential Section 179 Deduction: $0.00
Note: This is the potential deduction for THIS asset, limited by asset cost and the annual Section 179 dollar limit ($0.00 for ). The actual deduction is also limited by your business's total Section 179 eligible purchases ($$0.00 phase-out threshold for ) and your taxable business income.
Remaining Basis After Section 179: $0.00
Potential Bonus Depreciation (0%): $0.00
Note: Bonus Depreciation is applied to the remaining basis after Section 179. The percentage depends on the year placed in service.
Remaining Basis Subject to MACRS: $0.00
First-Year Regular MACRS (Simplified - Assumes Half-Year Convention): $0.00
Note: Calculated using the Half-Year Convention rate for the selected recovery period (e.g., 20% for 5-year, 14.29% for 7-year). This is a simplification; actual MACRS depends on convention and depreciation method.
Total Estimated First-Year Deduction: $0.00
Disclaimer: This tool provides a simplified estimate of the potential first-year depreciation deduction based on common rules for Section 179 and Bonus Depreciation and a simplified MACRS calculation. Actual depreciation is complex and depends on specific property details, placed-in-service date (affecting convention), total business assets, total taxable income, and current tax laws. This is not tax advice. Consult a qualified tax professional.