@ForbidInjustice wrote:
I didn't take Bonus SDA and didn't elect out of it, I'm "using an improper accounting method"
To amend, I should only need to include any form that has changed, correct? 1040X, Schedule C, Schedule SE, and 4562, from what I can tell.
limit on depreciation and section 179 expense for passenger automobiles is $19,200 if taking SDA.
So does this mean I take a full $19,200 and depreciate the remaining $5909 over 5 years, starting with 2022 ($5909 * 0.20)? That huge deduction would put me at a net loss for 2022.
You are not using an incorrect method. Even though you don't realize it, you are still using Bonus.
The limit is $19,200 based on 100% business use. At 66.48% business use, the limit is $12,764. That is why your Section 179 was $12,764 - you maxxed out the limit. That is also why I said that most likely there won't be any tax change on your 2022 return.
You hit the max amount, so the remaining amount starts to be depreciated in 2023. There would not be any additional in 2022.
