GAAP Vs. MACRS. Corporate financial statements, such as income statements, cash flow reports and balance sheets, all employ generally accepted accounting principles, or GAAP, as the basis for ...

Under MACRS, your first year's depreciation deduction is 35 percent of the auto's cost, which is $17,500. However, under Revenue Procedure 2013-21, you can only take a maximum depreciation of $11,160.

Example 3: Table 4 has $4.5 million of farm asset purchases which is over the 2025 EE total phaseout limit. However, 40% of the purchase price qualifies for bonus depreciation. The rest is depreciated ...

Today, the IRS issued Revenue Procedure 2013-21, which sets the annual depreciation limits for luxury autos. For 2013, if you elect to apply the bonus depreciation rules to a newly-purchased auto ...

Understanding the General Depreciation System (GDS) The declining balance method requires applying the depreciation rate against the non-depreciated balance. For example, if an asset that costs ...