AccountingBLOCK

amd87 · 04-07-2008, 05:16 PM

If a company just purchased a new computer for an officer who is a programmer to do company work at home as needed. He uses it 50% of the time for business. Is the company entitled to any depreciation? The computer does not belong to the officer.

Thanks

Charly · 04-07-2008, 05:16 PM

The company is theoretically entitled to 100% of the tax benefits relating to purchase of the computer, whether it be section 179 deduction or depreciation.
The benefit received by the officer for his personal use should be reviewed for possible inclusion on a 1099 or W-2 as additional compensation, in much the same way as personal use of a business automobile.

04-07-2008, 05:16 PM	#1 (permalink)
amd87 Status: n00b Join Date: Mar 2008 Posts: 13 Credits: 223	Computer Depreciation If a company just purchased a new computer for an officer who is a programmer to do company work at home as needed. He uses it 50% of the time for business. Is the company entitled to any depreciation? The computer does not belong to the officer. Thanks

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04-07-2008, 05:16 PM	#2 (permalink)
Charly Status: n00b Join Date: Mar 2008 Posts: 26 Credits: 389	The company is theoretically entitled to 100% of the tax benefits relating to purchase of the computer, whether it be section 179 deduction or depreciation. The benefit received by the officer for his personal use should be reviewed for possible inclusion on a 1099 or W-2 as additional compensation, in much the same way as personal use of a business automobile.

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