Etsy U.S. Tax, Bookkeeping, QuickBooks, and Business License Topics I want to buy a sewing machine but I don't understand depreciation.

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Original Post

I'm looking at a sewing machine that's about $1,000. Can someone give me the cliffnotes on if I have to depreciate that/how I go about doing that?

Posted at 5:25 pm Jun 16, 2012 EDT

Responses

www.irs.gov/pub/irs-pdf/p946.pdf


you can probably take it as a section 179 deduction all at once too, read the part about that as well

Posted at 5:32 pm Jun 16, 2012 EDT

I feel so ooooooooooooooooold! I read it, sort of, (thank you for the link, Captain), but couldn't make heads nor tails of it.

My old computer died, so I had to get a new one, and new software, AND a new printer, because none of the old stuff would talk to the new computer. The total is around $1100.

Must I depreciate it,or can I just write it off this year?

I'm sure there are good reasons to depreciate it, but I need to keep this as simple as possible. Like I said, I'm feeling old and not very bright.

Thank you for all your help!

Posted at 10:21 pm Jun 17, 2012 EDT

yes, you could as a section 179 deduction, since its tangible personal property as long as its used 50% or more for business. and if its used for business and personal use, then you only deduct the % that its used for business

Posted at 10:31 pm Jun 17, 2012 EDT

artisanwoodcrafting says
Edited on Jun 17, 2012

reading a little more, it appears that if the 179 deduction is more than your taxable income, you have to carry the rest over to the next year. it can make you go into the negative and show a loss, thats what it looks like, without reading the whole thing. you can also call the IRS to get clarification from them too

Posted at 10:41 pm Jun 17, 2012 EDT

Thanks! I'll make a note I need to use section 179.

Posted at 11:05 pm Jun 18, 2012 EDT

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