Tom Copeland...Question On Computer Software

[frugalmama4]

Good Morning,

I purchase a new laptop for $399.00 with an extended warranty for $79.99.

Would I write off the warranty separately or and it in with laptop total?

Thanks Tom.

[TomCopeland]

Computer and warranty

Good Morning,

I purchase a new laptop for $399.00 with an extended warranty for $79.99.

Would I write off the warranty separately or and it in with laptop total?

Thanks Tom.

Deduct the time-space % of the warranty in one year. Depreciate the laptop over 5 years, using the 50% bonus depreciation rule. If you used the laptop more than 50% for your business, use the Section 179 rule and deduct the business portion in one year.