Can I take 179 depreciation towards my W2?
In short, no. The S-Corp files it's own physically separate tax return on IRS Form 1120-S. For the S-Corp, wages paid are a business expense. Any depreciable assets owned by the S-Corp are depreciated by the S-Corp and only on the 1120-S.
If you are a W-2 employee of the S-Corp (which is perfectly fine) you can't take any business expenses for the S-Corp on your personal 1040 tax return. The S-Corp is treated as it's own physically separate taxable entity.
