RE: Depreciating Fixed Assets in Cryptocurrency Mining

You are viewing a single comment's thread from:

Depreciating Fixed Assets in Cryptocurrency Mining

in tax •  7 years ago 

Making sure I'm understanding this correctly. I would have to be incorporated to deduct any of the hardware depreciation? I can only deduct up to 50% of the original value year?

Authors get paid when people like you upvote their post.
If you enjoyed what you read here, create your account today and start earning FREE STEEM!
Sort Order:  

You do not need to be incorporated to deduct hardware depreciation. To claim the deduction you would fill out Form 4562 which would produce amounts which would be reported on Form 1040 Schedule C.

You could potentially deduct 100% of the original value under section 179. If it doesn't apply, you'll be able to deduct 50% of the cost of the equipment + any MACRS depreciation.