[jeff]

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Jeff Elliott, CPA (KS) | Another71 | NINJA CPA | NINJA CMA | NINJA CPE

[OCDisME]

@Qlad and UCMCPA regarding the Education Tax Incentives…do you have any good mnemonics or anything to help remember it? I barely glanced over it during studying, and I think there was maybe 1 or 2 questions on MCQ.

@UCMCPA I just took my first Becker Practice Exam and by averaging everything, I got an 84. I wish this is how the actual exam was scored! I was thrown by some of the MCQ and Sims…they hardly covered a couple things in lecture and during homework MCQ and then they throw these MCQ in to the practice exam?! WTF!!!

Becker Online - IL Candidate

FAR: 85
AUD: 85
BEC: 78
REG: 90

[Anonymous]

There is no $500,000 limit as an answer choice? That is what I would think it is.

[Anonymous]

There is no $500,000 limit as an answer choice? That is what I would think it is.

[OCDisME]

@Qlad…B is the correct answer.

Becker Online - IL Candidate

FAR: 85
AUD: 85
BEC: 78
REG: 90

[OCDisME]

@Qlad…B is the correct answer.

Becker Online - IL Candidate

FAR: 85
AUD: 85
BEC: 78
REG: 90

[UCMCPA]

I think the AGI is a distraction in that problem and you only use the 950,000. Since the answer using the updated rules is not an option, I would assume it's the old rules of a max of 125,000 and phase out begins at 500,000. I'm not sure if it's a dollar for dollar phase out, I believe it is under the new rules so I would assume it is for the old.

I would pick B.

Allowable deduction 125,000

Machinery 950,000

(Phase out) 500,000

Reduction in deduction 450,000

125,000 – 450,000… does not compute.

Now if it's not dollar for dollar then I messed up lol

FAR - 84
AUD - 94
REG - 86
BEC - 86

[UCMCPA]

I think the AGI is a distraction in that problem and you only use the 950,000. Since the answer using the updated rules is not an option, I would assume it's the old rules of a max of 125,000 and phase out begins at 500,000. I'm not sure if it's a dollar for dollar phase out, I believe it is under the new rules so I would assume it is for the old.

I would pick B.

Allowable deduction 125,000

Machinery 950,000

(Phase out) 500,000

Reduction in deduction 450,000

125,000 – 450,000… does not compute.

Now if it's not dollar for dollar then I messed up lol

FAR - 84
AUD - 94
REG - 86
BEC - 86

[UCMCPA]

@OCDisMe

I look at it… for the AOC, you get to take it every OPPORTUNITY you can. The LL credit you only get ONCE in a lifetime.

@cupcake- you are mixing the updated with the old rules

FAR - 84
AUD - 94
REG - 86
BEC - 86

[UCMCPA]

@OCDisMe

I look at it… for the AOC, you get to take it every OPPORTUNITY you can. The LL credit you only get ONCE in a lifetime.

@cupcake- you are mixing the updated with the old rules

FAR - 84
AUD - 94
REG - 86
BEC - 86

[OCDisME]

I just had this sec 179 question in my practice exam and got it wrong because I barely studied this section. The calculation is:

$125,000 is the max deduction, and it cannot be taken if there is a loss or to create a loss.

Reduced dollar for dollar by the excess of $500,000…so: $950,000 less $500,000 = $450,000

125,000 less 450,000 = -325,000, therefore no deduction allowed.

Becker Online - IL Candidate

FAR: 85
AUD: 85
BEC: 78
REG: 90

[OCDisME]

I just had this sec 179 question in my practice exam and got it wrong because I barely studied this section. The calculation is:

$125,000 is the max deduction, and it cannot be taken if there is a loss or to create a loss.

Reduced dollar for dollar by the excess of $500,000…so: $950,000 less $500,000 = $450,000

125,000 less 450,000 = -325,000, therefore no deduction allowed.

Becker Online - IL Candidate

FAR: 85
AUD: 85
BEC: 78
REG: 90

[Anonymous]

@UCMCPA…That would be correct though under the new rules though, right? So for 2012, it is $125,000 Section 179 expense on a max purchase of $500,000. And 2013 it is $500,000 section 179 expense for a max of $2,000,000 in purchases?

[Anonymous]

@UCMCPA…That would be correct though under the new rules though, right? So for 2012, it is $125,000 Section 179 expense on a max purchase of $500,000. And 2013 it is $500,000 section 179 expense for a max of $2,000,000 in purchases?

[Anonymous]

Why don't I understand basis for gains and stock?!?!? :'(

[Anonymous]

Why don't I understand basis for gains and stock?!?!? :'(

[Author]

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