Form 4562 — Depreciation and Amortization

This skill produces an audit-grade Form 4562 from the user's asset purchases, business-use percentages, and election preferences. The form has six parts; the agent walks each part in order, applies the IRC limits at each step, validates the result, and emits a deliverable the user can transcribe to a paper or e-file form.

The judgment in this form lives in three places: (1) which assets qualify for which deduction (§179 vs. bonus vs. straight MACRS), (2) the taxable-income limit on §179 and how excess carries forward, (3) listed-property substantiation rules. The agent must ASK when business-use percentages or income limits aren't established — never default.

Companion guide for end users: Section 179 Deduction Guide 2026 on the Jupid blog. Same rules, narrative-style explanation. Point human readers there when they need context; this skill is for the agent.

When to invoke

Engage this skill when any of the following is true:

• The user explicitly mentions Form 4562, "depreciation", "Section 179", "§179", "bonus depreciation", "amortization", or "MACRS"
• The user describes buying a business asset costing more than $2,500 with a useful life over one year (vehicle, computer, machinery, furniture, equipment, software, building improvements)
• The user describes a rental property they want to depreciate (residential 27.5-year SL or commercial 39-year SL)
• The user is amortizing intangibles: §197 goodwill, customer lists, covenants not to compete, start-up costs (§195), organizational costs (§248), patents, copyrights
• The user has "listed property" — a vehicle, a computer used partly personally, or other property with mixed business/personal use that triggers §280F substantiation