a sole proprietor runs a business from home in 2012 he has income from the home offi 612690

In 2012, a sole proprietor buys used office furniture at a cost of $4,200. He has a net loss from his business activities of $9,600. Which of the following options applies to him for purposes of writing off the cost of the furniture in 2012?

a. Incorrect. Section 179 provides a tax deduction only if a taxpayer is profitable for the year.

b. Incorrect. Bonus depreciation cannot be used for used (preowned) property.

c. Incorrect. Since section 179 and/or bonus depreciation cannot be used, this answer is not correct.

d. Correct. Because the taxpayer has a loss, a section 179 deduction cannot be claimed; because the property is used, bonus depreciation cannot be used.