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Section 179 — Bonus Phase-Down Years

First-year deduction stack (§179 + bonus + MACRS) for a bonus phase-down years.

0
§179 deduction ($)
0
Bonus depreciation ($)
0
MACRS yr-1 on remainder ($)
0
Total first-year writeoff ($)

Bonus depreciation is phasing down (100% → 80% → 60% → 40%...). The interplay flips strategy: §179 first (it's elective per-asset), bonus sweeps the remainder at the year's percentage, MACRS carries the rest.

Formula

§179 (≤ limit, phase-out, income) → bonus % of remainder → 20% MACRS on the rest
References: IRC §179 & §168(k) — Expensing and bonus depreciation; IRS Publication 946 — How to Depreciate Property (MACRS)

Note: Educational estimate, NOT tax advice. Section 179/MACRS limits change yearly and interact with bonus depreciation, income limits and state rules — confirm every figure with your tax professional.

Disclaimer: This tool is for general informational and estimation purposes only and is not professional financial, tax, accounting or legal advice. All figures are estimates — verify with a qualified professional before making decisions. Read the full disclaimer.

First-year deduction stack (§179 + bonus + MACRS) for a bonus phase-down years. A free heavy equipment depreciation & ownership cost tool — no sign-up, no upload, instant results in your browser.

About Section 179 — Bonus Phase-Down Years

Section 179 — Bonus Phase-Down Years computes the governing relationship §179 (≤ limit, phase-out, income) → bonus % of remainder → 20% MACRS on the rest live as you type. Bonus depreciation is phasing down (100% → 80% → 60% → 40%...). The interplay flips strategy: §179 first (it's elective per-asset), bonus sweeps the remainder at the year's percentage, MACRS carries the rest. Defaults are pre-filled with realistic values for this exact scenario, and the worked example substitutes your numbers step by step so the math is never a black box.

How to use Section 179 — Bonus Phase-Down Years

  1. 1Enter your values — Equipment cost, §179 annual limit, Phase-out threshold, Total equipment placed in service and more (sensible defaults are pre-filled).
  2. 2Read the live results: §179 deduction, Bonus depreciation, MACRS yr-1 on remainder, Total first-year writeoff.
  3. 3Check the "with your numbers" line to see §179 (≤ limit, phase-out, income) → bonus % of remainder → 20% MACRS on the rest substituted step by step.
  4. 4Adjust inputs until the scenario matches yours, then copy or share the result.

Why use Section 179 — Bonus Phase-Down Years?

  • Instant, free and private — every calculation runs client-side in your browser; nothing is uploaded
  • Built on the stated formula §179 (≤ limit, phase-out, income) → bonus % of remainder → 20% MACRS on the rest with authoritative sources cited on the page (IRC §179 & §168(k) — Expensing and bonus depreciation; IRS Publication 946 — How to Depreciate Property (MACRS))
  • Bonus depreciation is phasing down (100% → 80% → 60% → 40%...).
  • Niche-specific defaults give a meaningful worked answer the moment the page loads

Frequently asked questions

What formula does the section 179 — bonus phase-down years use?+

It evaluates §179 (≤ limit, phase-out, income) → bonus % of remainder → 20% MACRS on the rest, exactly as published. Sources: IRC §179 & §168(k) — Expensing and bonus depreciation; IRS Publication 946 — How to Depreciate Property (MACRS). The substituted worked example on the page lets you verify every step against the textbook.

How should I read the result — and how far can I trust it?+

Bonus depreciation is phasing down (100% → 80% → 60% → 40%...). Educational estimate, NOT tax advice. Section 179/MACRS limits change yearly and interact with bonus depreciation, income limits and state rules — confirm every figure with your tax professional.

When is this calculator the right tool for the job?+

First-year deduction stack (§179 + bonus + MACRS) for a bonus phase-down years. A free heavy equipment depreciation & ownership cost tool. The interplay flips strategy: §179 first (it's elective per-asset), bonus sweeps the remainder at the year's percentage, MACRS carries the rest. For neighbouring scenarios, the related tools below cover the same engine with different presets.

Do I need to install anything or create an account?+

No. The tool is pure client-side JavaScript: open the page and it works, offline once loaded, with no account, no quota and no data leaving your device.

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