[peetree]

Hey everyone,

I apologize if this has been posted before but I couldn’t find anything when using the search function. I’m currently in final review study mode and am going over both the Becker notes as well as the ninja notes. I’m a little confused as to the differences between what I’m reading in Ninja and what Becker is telling me for section 179 expense deductions.

Becker is telling me the limit is $125,000 of new or used property with the deduction being reduced dollar for dollar by any amount over $500,000.

Ninja Notes are telling me that the limit is $139,000 of new or used property with the deduction being reduced dollar for dollar by any amount over $560,000.

Just looking for some clarity as to what is being tested on the exam. I hope this doesn’t break any rules.

Thanks everyone.

FAR 02/21/13 - 95
REG 07/02/13 - 87
AUD 08/02/13 - 94
BEC 08/30/13 - 85
Ethics Exam - 90

Illinois candidate awaiting his license

Used Becker Self Study | Ninja Audio | Becker Flash Cards | Ninja Notes | Wiley Test Bank

[jeff]

1. The NINJA Notes are correct (or they were) for Jan – May Exams

2. You need to email me for an updated copy for July-November exams 🙂

[rjcpa]

I think those are the old rules that were to go back into effect at the begin of 2013. But congress keep the old rules of 500,000 deduction with dolar for dolar reduction for cost over 2,000,000 in effect for this year.

FAR - 10/3/12 - 86
BEC - 11/27/12 - 70 1/14/13 - 81
AUD - 4/4/13 - 87
REG - 7/8/13 - 80

[peetree]

phew.

Not going crazy.

Will do Jeff. Thanks

FAR 02/21/13 - 95
REG 07/02/13 - 87
AUD 08/02/13 - 94
BEC 08/30/13 - 85
Ethics Exam - 90

Illinois candidate awaiting his license

Used Becker Self Study | Ninja Audio | Becker Flash Cards | Ninja Notes | Wiley Test Bank

[Jennifer241]

Becker is wrong, that is 2008-09 law. NINJA was updated, ask Jeff 🙂

Tax law is constantly changing, so at the time these publications were printed that information was correct for the NINJA notes.

2012 & 2013 Section 179 maximum dollar deduction is $500,000, due to the passage of ATRA (American tax relief act of 2012) that was signed by the president last January 2013. This made the $500,000 amount retro-active, since it wasn't approved until 2013. (Try tax planning for that!)

IRS pub for 2012:

https://www.irs.gov/publications/p946/ch02.html#en_US_2012_publink1000299344

They have many examples at the end of the publication to walk you through the calculations.

AUD - Jan 9,13 Pass
REG - Aug 30,13 Pass
BEC - Oct 26,13 Pass
FAR - Dec 4,13 Pass

Licensed CPA in the state of Oregon

[peetree]

Thanks everyone.

Jeff promptly sent the updated notes.

I updated my hand written notes and I'm back in business!

Edit: Also, screw congress for changing tax law all the time! Really messing with my study materials.

FAR 02/21/13 - 95
REG 07/02/13 - 87
AUD 08/02/13 - 94
BEC 08/30/13 - 85
Ethics Exam - 90

Illinois candidate awaiting his license

Used Becker Self Study | Ninja Audio | Becker Flash Cards | Ninja Notes | Wiley Test Bank

[littlenumberrobot]

@peetree – LOL!!! Try working in tax and having to keep up with it all the time AND explaining to clients what it means for them. My all time favorite was how they retroactively set sec 179 to $500K for 2012…. AFTER the year closed. No one was able to go out and buy new assets, the Gov. could have kept the tax revenue, but no… let's make it difficult on us 😛

CA CPA - All because of the journey listed below
-----------------------------------------------------------------------
FAR - 53('10), 8/25/12 79 PASSED!
REG - 66('11), 69('12), 12/06/12 77 PASSED!!
BEC - 58('10), 74('12), 01/05/13 77 PASSED!!!
AUD - 43('11), 66('12), 69('13), 74('13) 7/29/13 85 PASSED!!!!!

(Combinations of Roger, Yaeger, Wiley Book, Wiley TB, & NINJA Notes)

Ethics 90%

[peetree]

@littlenumberrobot

I wasn't an exceptional student during my undergrad but I did get an ‘A' in taxation. I hated it the entire time while my professor kept telling me that I was going to be a tax accountant.

To this day, I hate hate hate hate hate tax with a passion.

More power to you for being able to put up with all the laws and rules.

FAR 02/21/13 - 95
REG 07/02/13 - 87
AUD 08/02/13 - 94
BEC 08/30/13 - 85
Ethics Exam - 90

Illinois candidate awaiting his license

Used Becker Self Study | Ninja Audio | Becker Flash Cards | Ninja Notes | Wiley Test Bank

[MrsBing]

Ok, I'm confused, what are the rules and limits for 2012 and 2013?

Becker, Wiley Test Bank, and Ninja 10 Point Combo!

FAR: 89
REG: 87
AUD: 92
BEC: 75
Ethics: 90

Licensed Arizona CPA

[jeff]

The CPA Exam adopts legislative changes 6 mo later…so going forward in 2013 exams, it's $500k/$2m

[Jennifer241]

500,000 for 2012 and 2013

AUD - Jan 9,13 Pass
REG - Aug 30,13 Pass
BEC - Oct 26,13 Pass
FAR - Dec 4,13 Pass

Licensed CPA in the state of Oregon

[nexuslotus]

Here you go guys.

Year Max Limit Phaseout (Reduced $1 for $1 in excess of)

2002 24,000

2003 100,000 400,000

2004 102,000 410,000

2005 105,000 420,000

2006 108,000 430,000

2007 125,000 500,000

2008 250,000 800,000

2009 250,000 800,000

2010 500,000 2,000,000

2011 500,000 2,000,000

2012 500,000 2,000,000 (max limit was $139,000 until congress changed back to 500K in 1/1/13)

2013 500,000 2,000,000

AUD not taken
BEC 11/24/10 54
FAR 11/29/11 48, scheduled 8/31/13
REG 07/02/11 63, 08/03/13 waiting!!

[MrsBing]

So for 2012/2013 the limit is $500,000 and reduces dollar for dollar once purchases exceeds $2,000,000? Sorry, just want to get this right in my notes.

Becker, Wiley Test Bank, and Ninja 10 Point Combo!

FAR: 89
REG: 87
AUD: 92
BEC: 75
Ethics: 90

Licensed Arizona CPA

[jeff]

Mrs Bing – that is correct…I also just emailed you an updated 10 Point Combo 🙂

[MrsBing]

Thanks Jeff. I got it.

Becker, Wiley Test Bank, and Ninja 10 Point Combo!

FAR: 89
REG: 87
AUD: 92
BEC: 75
Ethics: 90

Licensed Arizona CPA

[holbythebear]

Thanks for the update guys. I did a becker final exam last night, and they used $125,000 and anything over $500,000 reduce the $125,000 dollar for dollar. I was doing problems in the 2012 Wiley Book, and they used $500k/$2m (I got it wrong because I thought there must be an exception to the answer I learned from Becker). I had to hop on the internet for this one. Exam in 2 days!

AUD - 5/13 85
REG - 7/13 73, 2/14 84
FAR - 8/13 82
BEC - 12/13 80

[Author]

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