Question

I have your tax course.

Before purchasing your tax course, I bought a business SUV and then incorporated.

Your tax course says that my corporation can reimburse me for actual expenses on the SUV, including the Section 179 deduction and five-year MACRS depreciation.

My CPA says that I may not reimburse Section 179 or depreciation. Who’s right? (J.D.S., Springfield, Mass.)

Answer

Nice setup: Thanks! Guess who’s right? Your course, of course, and here are the facts.

IRS Reg. Section 1.62-2(d)(1) allows as ... Log in to view full article.