Opting Out of Bonus Depreciation - 0.2 CPE

Bonus depreciation is often viewed as an automatic tax benefit, but the largest immediate deduction is not always the best long-term strategy. In some cases, electing out can preserve deductions for future years, simplify state reporting, and better align with the taxpayer’s planning goals.

Learning Objective

Assess when electing out of bonus depreciation may provide a more favorable tax outcome based on a taxpayer's circumstances and long-term planning objectives.

Course Description

This nano-learning course examines the rules and planning considerations for electing out of bonus depreciation, including asset class requirements, filing procedures, correction opportunities, and strategic tax planning implications.

Designed For

Tax and accounting professionals advising clients on depreciation elections, business asset purchases, pass-through entities, state conformity issues, and long-term tax planning strategies.

Why This Matters

Bonus depreciation applies by default to qualifying property, which means inaction can unintentionally lock taxpayers into accelerated deductions. Understanding when to elect out, how the election applies by asset class, and how correction procedures work helps practitioners avoid costly mistakes and make more strategic cost recovery

Author / Instructor

Lee T. Reams, Sr., BSME EA
Lee T. Reams, Sr. is an Enrolled Agent with extensive experience in tax preparation, representation, and advanced tax planning. He is known for helping practitioners apply complex tax rules in real-world client situations.

Course Details

This course qualifies for NASBA continuing professional education credit. CountingWorks, Inc. is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org. 

Make Strategic Bonus Depreciation Election Decisions

Start Opting Out of Bonus Depreciation and learn how asset class elections, filing requirements, and long-term planning considerations affect depreciation strategy.