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MACRS depreciation w/ 80% bonus question
There is a new federal law that started in January 2023 that allows MACRS depreciation with an 80% Bonus
The issue I have is that the client runs quarterly depreciation and, according to them, the tax law allows the bonus to be taken as soon as the asset is placed in service, and not apportioned throughout the year.
For example, for a $10, 000, 3 year asset that is placed in service in January, the $8,000 should be recognized immediately and the remaining $2,000 depreciated as MACRS over the remaining life.
Everything I do, apportions the bonus across the first year rather than the first quarter.