Instructions for Form 4562 - Introductory Material


Table of Contents

Future Developments

For the latest information about developments related to Form 4562 and its instructions, such as legislation enacted after this form and instructions were published, go to www.irs.gov/form4562.

What's New

  • For tax years beginning in 2013, the maximum section 179 expense deduction is $500,000 ($535,000 for enterprise zone property). This limit is reduced by the amount by which the cost of section 179 property placed in service during the tax year exceeds $2 million. See the instructions for Part I for more information.

  • For tax years beginning after 2013, the definition of section 179 property will no longer include certain qualified real property. See Special rules for qualified section 179 real property for more information.

  • For tax years beginning after 2013, the higher section 179 expense deduction limit and threshold amount before reduction in limitation will no longer apply.

  • The increased section 179 expense deduction will not apply to qualified empowerment zone property placed in service after December 31, 2013. See the instructions for line 1 for more information.

  • For tax years ending after December 31, 2012, you may be able to take a 50% special depreciation allowance for qualified second generation biofuel plant property placed in service after January 2, 2013, and before January 1, 2014.

  • For tax years ending after December 31, 2012, a corporation can elect to claim pre-2006 unused minimum tax credits in lieu of the special depreciation allowance for round 3 extension property.

  • Qualified motor sports entertainment complex property placed in service after December 31, 2013, will not be treated as 7-year property under MACRS.

  • Qualified leasehold improvement property, qualified restaurant property, and qualified retail improvement property placed in service after December 31, 2013, will not be treated as 15-year property under MACRS.

  • The accelerated depreciation of property on an Indian reservation will not apply to property placed in service after December 31, 2013.

  • The 3-year recovery period for race horses two years old or younger will expire for such horses placed in service after December 31, 2013.


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