A buyer and seller can agree to an earlier closing date in the purchase contract, but if the lender can't perform during that time window, it doesn't really matter which date is selected, because it's not going to close on the date the buyer and seller specify. It will close when the lender is ready to close.
Section 179 expense is reported on Schedule K and passed to the partners or shareholders and is not reported in ordinary income. Bonus deprecation is allowed on new assets placed in service in the current tax year and used in the United States with a recovery period of 20 years or less. Certain leasehold improvements, restaurant property, and retail improvement property may also qualify for bonus deprecation. Used assets are not eligible for bonus depreciation. Bonus depreciation is calculated after Section 179 expense is taken and before current year depreciation is calculated.
Companies use depreciation to spread the cost of a capital asset over the life of that asset. If a company spent $100,000 on a new piece of equipment one year, for example, its financial statements for that year wouldn't show the full $100,000 as an expense.f an asset has such a salvage value, that will be its carrying value when fully depreciated. The same rules apply, though. The company doesn't have to write off or write down the asset when it's fully depreciated; it can use the asset as long as it likes.