Question

I use my personal computer and computer equipment for business. Is there a depreciation schedule for computers and computer equipment?

Answer

Computers and computer equipment are considered listed property. If you used the computer for more than 50% business use, you can either:

  • Use the modified accelerated cost recovery system (MACRS) method of depreciation to calculate the depreciation schedule for computers and computer equipment using a five-year class life.
  • For the depreciation schedule for computers and computer equipment depreciation, you may claim a deduction under Section 179.

If the business use of the computer or equipment is 50% or less, you can’t take a Section 179 deduction or MACRS. Use the alternate depreciation system instead. This is the straight-line method. It has a five-year class life.

You must document the use of any listed property that you use for more than one purpose in the year.

 

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