Tax Guru-Ker$tetter Letter

Wednesday, January 11, 2006

Sec 179 For Video Games

Subject: 179 Depreciation
Can a Game Center business take the 179 expense for the video games purchased a during the year? I was thinking it is consider asset but does it has to be a fixed one. I think you can because it is consider software. Also how should I calculate depreciation for a short year. The business open in May of this year and most of the property was purchased and placed into service in June expect for two Xboxes which was purchased in November.

You really should be discussing this with your own personal tax advisor. If you are trying to operate as a legitimate for-profit business without a professional tax advisor, you are asking for big trouble.

I have this all explained on my website.

but only a qualified tax pro will be able to give you more specific numbers for your situation.

Good luck.

Kerry Kerstetter

Labels: 179

- posted by Kerry M. Kerstetter, MBA~CPA~ATP~ATA @ 1/11/2006 01:27:00 PM Send this post: