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J.K. Lasser's Small Business Taxes 2018 by Barbara Weltman

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CHAPTER 14First-Year Expensing, Depreciation, Amortization, and Depletion

There are a number of ways in which you can write off the cost of machinery and equipment. The method you use depends on your situation. And there are special write-off rules for realty and intangible property, and other types of property.

First-year expensing, which is also called the Section 179 deduction after the section in the Tax Code that created it, is a write-off allowed for the purchase of equipment used in your business. This deduction takes the place of depreciation—the amount expensed is not depreciated. For example, if you buy a desk for your business for $1,000, you can opt to deduct its cost in full in the year you place the desk into service. If you don't make this election and no other write-off option applies, you must write off the cost over a number of years fixed by law.

Depreciation ...

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