depreciation of a qualified nonpersonal vehicle (school bus)

Forum|Forum|2 years ago
February 27, 2024
1 reply
14 views

Does anyone have any experience with depreciation of qualified non-personal vehicles? It is a school bus. The last one was purchased before all of the qualified property options and was depreciated as asset type Z using the SL method for a recovery period of 12 years. That was done by someone else and doesn't really apply to this new vehicle. Thank you.

ProSeries Professional

This topic has been closed for replies.

Best answer by TaxGuyBill

Buses are depreciated over 5 years (9 years for ADS purposes).

I'm not aware of any restrictions for how to depreciate it. You can use Straight-Line, 150%DB, 200%DB, Bonus and/or Section 179.

T

TaxGuyBill

Level 15

What is your question?

What does "all of the qualified property options" mean?

If the prior method of depreciation was incorrect, you may need to file Form 3115 to fix it.

L

lyndaj0331Author

Level 5

This is a new bus purchased in 2023 - I feel like i should still be using asset type Z, but not sure about the recovery period and/or method. Also, was wondering if any bonus appreciation options might be allowed with qualified non-personal vehicles. Thank you.

T

TaxGuyBillAnswer

Level 15

Buses are depreciated over 5 years (9 years for ADS purposes).

I'm not aware of any restrictions for how to depreciate it. You can use Straight-Line, 150%DB, 200%DB, Bonus and/or Section 179.

Sign up

Login with SSO

Let's get you signed in

Login with SSO