1120-US: Business income calculated for Form 4562, line 11 and the amount of Section 179 deduction allowed for the current year (FAQ)

Alerts and notices
Leave feedback

Internal Employees: Submit feedback

Contact information (optional):

Leave this blank:

Please tell us how we can make this information more helpful.


Characters left:

Change to CS Support service hours

Our Support department is closed on [[date]]. However, limited UltraTax CS phone support is available on that date from 9 AM - 5 PM ET due to the approaching deadline.

Links to our most popular tax processing topics are available in the Alerts and notices section on the right side of most pages.

Question

How is the amount of business income calculated for Form 4562, line 11 used to determine the amount of Section 179 deduction allowed for the current year?

Answer

UltraTax CS calculates trade or business income for a C Corporation by totaling the following amounts.

UltraTax CS calculates trade or business income for an S Corporation by totaling the following amounts.

If the amount on Form 4562, line 11 is less than the amount on line 5, UltraTax CS prints a not required statement for S Corporation clients detailing the amounts that are used to calculate the business income limitation for Section 179.

You can force the amount of business income for Section 179 purposes in the Section 179: Business income limitation (Force) field in Screen OthAsset in the General folder.

Related topic: 1120-US: Form 4562 - depreciation and amortization FAQs

Share This