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Down Payments Tax Deductable?

I am leasing an APU. I understand my payments are deductible. Is my down payment tax deductible? Where do I list the down payment in Profit Gauges?

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The down payment is part of the cost of the APU. I would say it is deductible, along with any interest charges, repairs and fuel. Possible list the down payment in maintenance..... or you might have to depreciate the APU for 3 years. Talk to your tax preparation person.

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One does not have to use depreciation. You can use the 179 expensing authorized by the IRS to full expense any equipment purchase the same year. The limit is higher than most of us would ever reach... $500,000 in 2016. You would do normal deduction per year on interest you incurred on financing. I did a full 179 expensing last year on a John Deere 825i Gator that I use for snow plowing the parking areas for my truck and grading the gravel drive and parking areas. It was a $18,000 full expensing.

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