Exercise $8-25($LO$.4)$

On April $5,2024,$ Kinsey places in service a new automobile that cost $$70,000.$

He does not elect $179$ expensing, and he elects not to take any available

additional first$-$year depreciation. The car is used $75\%$ for business and $25\%$ for

personal use in each tax year. Kinsey uses the regular MACRS method of cost

recovery $($the auto is a $5-$year asset$).$

Click here to access the depreciation table to use for this problem.

Compute the total depreciation allowed for:

$2024$:

$2025$:

Check My Work

Limits exist on MACRS deductions for automobiles and other listed property i

listed property is predominantly used for business$)$ the taxpayer can use the

is not predominantly used for business, the cost is recovered using the straic