200 Percent declining balance depreciation amount | Straight line depreciation amount | Depreciation disallowance under section 274 | Depreciation deduction | § 1.274-7 Basis of aircraft | Suspended basis. | |
Year 1 | 200,000 | 83,300 | 8,330. (.10 * 83,300) | 191,670 (200,000 minus 8,330) | 808,330 (1,000,000 minus 191,670) | 8,330. |
Year 2 | 320,000 | 166,700 | 16,670 (.10 * 166,700) | 303,330 (320,000 minus 16,670) | 505,000 (808,330 minus 303,330) | 25,000 (8,300 plus 16,670). |
Year 3 | 192,000 | 166,700 | 16,670 (.10 * 166,700) | 175,330 (192,000 minus 16,670) | 329,670 (505,000 minus 175,330) | 41,670 (25,000 plus 16,670). |
Year 4 | 115,200 | 166,700 | 16,670 (.10 * 166,700) | 98,530 (115,200 minus 16,670) | 231,140 (329,670 minus 98,530) | 58,340 (41,670 plus 16,670). |
Year 5 | 115,200 | 166,600 | 16,660 (.10 * 166,600) | 98,540 (115,200 minus 16,660) | 132,600 (231,140 minus 98,540) | 75,000 (58,340 plus 16,660). |
Year 6 | 57,600 | 166,700 | 16,670 (.10 * 166,700) | 40,930 (57,600 minus 16,670) | 91,670 (132,600 minus 40,930) | 91,670 (75,000 plus 16,670). |
Year 7 | 83,300 | 8,330 (.10 * 83,300) | 91,670 | 91,670. |
200 Percent declining balance depreciation amount | Straight line depreciation amount | Depreciation disallowance under section 274 | Depreciation deduction | § 1.274 Basis of aircraft | Suspended basis. | |
Year 1 | 200,000 | 20,000 (.10 * 200,000) | 180,000 | 820,000 (1,000,000 minus 180,000) | 20,000. | |
Year 2 | 320,000 | 32,000 (.10 * 320,000) | 288,000 (320,000 minus 32,000) | 532,000 (820,000 minus 288,000) | 52,000 (20,000 plus 32,000). | |
Year 3 | 192,000 | 166,700 | 16,670 (.10 * 166,700) | 175,330 (192,000 minus 16,670) | 356,670 (532,000 minus 175,330) | 68,670 (52,000 plus 16,670). |
Year 4 | 115,200 | 166,700 | 16,670 (.10 * 166,700) | 98,530 (115,200 minus 16,670) | 258,140 (356,670 minus 98,530) | 85,340 (68,670 plus 16,670). |
Year 5 | 115,200 | 166,600 | 16,660 (.10 * 166,600) | 98,540 (115,200 minus 16,660) | 159,600 (258,140 minus 98,540) | 102,000 (85,340 plus 16,660). |
Year 6 | 57,600 | 166,700 | 16,670 (.10 * 166,700) | 40,930 (57,600 minus 16,670) | 118,670 (159,600 minus 40,930) | 118,670 (102,000 plus 16,670). |
Year 7 | 83,300 | 8,330 (.10 * 83,300) | 0 | 118,670 | 118,670. |
Example.
26 C.F.R. §1.274-10