ESTIMATED TAX DEDUCTION WORKSHEET*

          First Year Deduction

A) Equipment Cost (Section 179 Property)

B) Section 179 Deduction – Only available on the first $250,000 of Section 179 property purchased in 2009.

C) Adjusted Basis of Qualified Property – Equipment Cost – Section 179 Deduction

D) 50% Special Depreciation Deduction – On equipment placed in service before January 1, 2010 (Adjusted Basis of Qualified Property X .50 = Bonus Depreciation Deduction).

E) Standard First Year Depreciation Deduction (MACRS) – Equipment Cost – Section 179 Deduction - Bonus  Depreciation Deduction = Adjusted Basis of Equipment X .1429**).

Total First Year Tax Benefit = B + D + E

*      Tax laws are subject to change at any time.  The information outlined above is for general guidance and is not intended as specific legal, tax or accounting advice.  These calculations are only estimates.  Always contact your accountant or financial advisor to determine eligibility for and the exact tax implications of the above-referenced information. 

**     This percentage applies to equipment put in service in the first three quarters of the year – the percentage may be reduced if the equipment is put in service in the fourth quarter.