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While this may be true for federal purposes, it is not true for New York State tax purposes. NY State tax can actually increase as additional bonus depreciation is claimed.Beware of Bonus Depreciation in NY State for Real Estate Investors. ItemFederalNY StateBonus Depreciation Adjustment-40,000,000Adjusted Gross Income - Post-Bonus Depreciation Adjustment(524,000)39,476,0006 more rows Jun 1, 2021
While first-year bonus depreciation deductions are allowed under federal law, many states choose to decouple from federal provisions.
New York and NYC conforms to IRC section 179 expense deduction and no adjustments will be made.
As of last year, 33 of these 46 states with Section 179 deduction pegged to the federal base, with an allowable expense of $500,000.State Conformity with Federal Section 179. StateAllowable ExpensePegged to Federal BaseAlaska$500,000✓Arizona (a)$120,000Arkansas$25,000California$25,00057 more rows Jan 28, 2015
While this may be true for federal purposes, it is not true for New York State tax purposes. NY State tax can actually increase as additional bonus depreciation is claimed.Beware of Bonus Depreciation in NY State for Real Estate Investors. ItemFederalNY StateBonus Depreciation Adjustment-40,000,000Adjusted Gross Income - Post-Bonus Depreciation Adjustment(524,000)39,476,0006 more rows Jun 1, 2021
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New York State does not allow the federal ACRS depreciation deduction for property (except for property classified as IRC section 280F property) placed in service inside or outside New York State during tax years 1981, 1982, 1983, 1984, and fiscal years beginning in 1984.
As of last year, 33 of these 46 states with Section 179 deduction pegged to the federal base, with an allowable expense of $500,000.State Conformity with Federal Section 179. StateAllowable ExpensePegged to Federal BaseAlaska$500,000✓Arizona (a)$120,000Arkansas$25,000California$25,00057 more rows Jan 28, 2015
Deduction for depreciation or wear and tear If the vehicle was purchased in 2022 and you used the actual costs method, the maximum first year depreciation, including the bonus depreciation, is $18,200 multiplied by the percentage of total actual vehicle expenses (60% in the example above).
New York and NYC conforms to IRC section 179 expense deduction and no adjustments will be made.
While this may be true for federal purposes, it is not true for New York State tax purposes. NY State tax can actually increase as additional bonus depreciation is claimed.Beware of Bonus Depreciation in NY State for Real Estate Investors. ItemFederalNY StateBonus Depreciation Adjustment-40,000,000Adjusted Gross Income - Post-Bonus Depreciation Adjustment(524,000)39,476,0006 more rows Jun 1, 2021

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