We are a small family business, an LLC taxed as a partnership.
We are intending to sell a piece of equipment in order to buy a new one.
Once the older one is sold, do we count that as income? and then when the new one is bought, do we count that as an expense (using section 179)?
The one we are selling has already been fully depreciated.
I wasn't sure if I am thinking about this correctly.
I know this would be a common occurrence, and am sure there is a simple way of accounting for it.
Thanks!