Georgia Depreciation and Amortization

Depreciation and Amortization
Form4562
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2023

(Rev. 06/15/23)

CLEAR

Georgia Department of Revenue

Instructions for Form 4562
Georgia Depreciation and Amortization (Including Information on Listed Property)
Assets Placed in Service during Tax Years Beginning on or after January 1, 2008. Georgia's I.R.C. Section
179 deduction is $250,000 for 2008 through 2013, $500,000 for 2014 through 2016, $510,000 for 2017,
$1,000,000 for 2018, $1,020,000 for 2019, $1,040,000 for 2020, $1,050,000 for 2021, $1,080,000 for 2022, and
$1,160,000 for 2023. The related phase out is $800,000 for 2008 through 2013, $2,000,000 for 2014
through 2015, $2,010,000 for 2016, $2,030,000 for 2017, $2,500,000 for 2018, $2,550,000 for 2019,
$2,590,000 for 2020, $2,620,000 for 2021, $2,700,000 for 2022, and $2,890,000 for 2023. Georgia has not
adopted the Section 179 deduction for certain real property.
Georgia has not adopted the following depreciation provisions:
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The 30%, 50% and 100% bonus depreciation rules of I.R.C. Section 168(k).
New York Liberty Zone Benefits, I.R.C. Section 1400L.
50% first year depreciation for post 8/28/2006 Gulf Opportunity Zone property, I.R.C. Section 1400N(d)(1).
50% bonus depreciation for most tangible property and computer software bought after May 4, 2007 and placed
in service in the Kansas Disaster Area, I.R.C. Section 1400N(d)(1).
50% bonus depreciation for “qualified reuse and recycling property”, I.R.C. Section 168(m).
50% bonus depreciation in connection with disasters federally declared after 2007, I.R.C. Section 168(n).
Increased ($8,000) first-year depreciation limit for passenger automobiles if the passenger automobile is
“qualified property”, I.R.C. Section 168(k).
For assets placed in service on or before December 31, 2017, 15 year straight-line cost recovery period for
certain improvements to retail space, I.R.C. Sections 168(e)(3) (E)(ix), 168(e)(8), and 168(b)(3)(I).
For assets placed in service on or before December 31, 2017, modified rules relating to the 15 year straight-line
cost recovery for qualified restaurant property (allowing buildings to now be included) I.R.C. Section 168(e)(7).
5 year depreciation life for most new farming machinery and equipment, I.R.C. Section 168(e)(3)(B)(vii).
Temporary tax relief provisions relating to the Midwestern disaster area, I.R.C. Sections 1400N(f).

The Part I, Line 11 Business Income Limitation should be recomputed for Georgia purposes by adjusting
the amount for Federal tax changes Georgia has not adopted. Please see the Federal tax changes section
of the Georgia income tax booklets for more information.
Assets Placed in Service during Tax Years Beginning on or after January 1, 2005 and before January 1,
2008. For tax years beginning on or after January 1, 2005 and before January 1, 2008, Georgia did adopt
the increase d I.R.C . Sectio n 17 9 deductio n amount s an d th e relate d phase outs tha t wer e enacte d as par t of
Federal Act s passe d o n o r befor e Januar y 1 , 2008 . As such, fo r asset s placed in service during 200 5 through
2007 , th e only Georgi a depreciatio n difference s ar e du e to I.R.C. Sectio n 168(k ) (30 % an d 50 % bonus
depreciation) , I.R.C. Sectio n 1400 L (tax benefits for the New York Liberty Zone) , an d I.R.C . Sectio n
1400(d)(1 ) (pos t 8/28/200 6 Gulf Opportunity (GOZ) property).
Assets Placed in Service during Tax Years Beginning before January 1, 2005. For tax years beginning before
January 1, 2005 , Georgia did not adopt I.R.C. Section 168(k) (30% and 50% bonus depreciation), Section 1400L
(tax benefits for the New York Liberty Zone), and I.R.C. 1400N(d)(1) (post 8/28/2006 Gulf Opportunity Zone (GOZ)
property). Further, Georgia treated I.R.C. Section 179(b) as it was in effect before enactment of the Jobs and
Growth Tax Relief Reconciliation Act of 2003. As such, Georgia continued to use a $25,000 limit for the Section 179
deduction and a $200,000 limit for the phase out of the Section 179 deduction. Assets placed in service during tax
years beginning before January 1, 2005, should continue to be depreciated using the assumption that the bonus
depreciation was not allowed and a lower Section 179 amount was used.

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Form

4562

CLEAR

Georgia Depreciation and Amortization

(Rev. 06/15/23)

GEORGIA

(Including Information on Listed Property)

Note: Georgia does not allow any additional depreciation benefits provided by I.R.C.
Section 168(k), 1400L, 1400N(d)(1) , and certain other provisions.

Names(s) shown on return

See separate instructions.

Attach to your return.

Business or activity to which this form relates

2023
Identification number

Part I
1
2
3
4
5

Election To Expense Certain Tangible Property Under Section 179
Note: If you have any listed property, complete Part V before you complete Part I.
Maximum amount. See IRS instructions for a higher limit for certain businesses ...................
Total cost of IRC Section 179 property placed in service (see IRS instructions) ......................
Threshold cost of IRC Section 179 property before reduction in limitation ...............................
Reduction in limitation. Subtract line 3 from line 2. If zero or less, enter -0- ............................
Dollar limitation for tax year. Subtract line 4 from line 1. If zero or less, enter -0-. If married filing
separately, see IRS instructions ...................................................................................................
(a) Description of property

(c) Elected cost

(b) Cost (business use only)

1
2
3
4

$ 1,160,000
$ 2,890,000

5

6
7 Listed property. Enter the amount from line 29. ........................................... 7
8
8 Total elected cost of IRC Section 179 property. Add amounts in column (c), lines 6 and 7 ....
9
9 Tentative deduction. Enter the smaller of line 5 or line 8 .........................................................
10 Carryover of disallowed deduction from line 13 of your 2022 Form 4562 .................................. 10
11 Business income limitation. Enter the smaller of business income (not less than zero) or line 5 ........ 11
12 IRC Section 179 expense deduction. Add lines 9 and 10, but do not enter more than line 11 12
13 Carryover of disallowed deduction to 2024. Add lines 9 and 10, less line 12 13
Note: Do not use Part II or Part III below for listed property. Instead, use Part V.

Part II

Special Depreciation Allowance and Other Depreciation (Do not include listed property.)

14 Special depreciation allowance for qualified property (see instructions).......................................
(other than listed property) placed in service during the tax year ............................................... 14
15 Property subject to IRC Section 168(f)(1) election ...................................................................... 15
16 Other depreciation (including ACRS) ........................................................................................... 16

Part III

Not allowed for
Georgia purposes

MACRS Depreciation (Do not include listed property.)
Section A

17 MACRS deductions for assets placed in service in tax years beginning before 2023 ............. 17
18 If you are electing under IRC Section 168(i)(4) to group any assets placed in service during
the tax year into one or more general asset accounts, check here ......................................

Section B--Assets Placed in Service During 2023 Tax Year Using the General Depreciation System

(a) Classification of
property

19a 3-year property

b 5-year property
c 7-year property
d 10-year property
e 15-year property
f 20-year property
g 25-year property
h Residential rental
property

i Nonresidential real
property

(b) Month and year (c) Basis for depreciation
placed in service
(business/investment use
only.) See IRS instructions

(d) Recovery
period

25 yrs
27.5 yrs.
27.5 yrs.
39 yrs

(e) Convention

MM
MM
MM
MM

(f) Method

S/L
S/L
S/L
S/L
S/L

(g) Depreciation deduction

Section C--Assets Placed in Service During 2023 Tax Year Using the Alternative Depreciation System
Part IV
20a Class life
S/L
b 12-year
12 yrs
S/L
c 30-year
30 yrs
MM
S/L
40 yrs
S/L
MM
d 40-year

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Page 2

Form 4562 (2023)

Summary (See IRS instructions)
21 Listed property. Enter amount from line 28 ................................................................................

21

22 Total. Add amounts from line 12, lines 14 through 17, lines 19 and 20 in column (g), and line 21
Enter here and on the appropriate lines of your return ........................................................................

22

23 For assets shown above and placed in service during the current year, enter the
portion of the basis attributable to IRC Section 263Acosts .................................. 23

Part V

Listed Property (Include automobiles, certain other vehicles, certain aircraft, certain computers, and
property used for entertainment, recreation, or amusement.)

Note: For any vehicle for which you are using the standard mileage rate or deducting lease expense, complete only
24a, 24b, columns (a) through (c) of Section A, all of Section B, and Section C if applicable.

Section A--Depreciation and Other Information (Caution: See IRS instructions for limits for passenger automobiles.)
24a Do you have evidence to support the business/investment use claimed? Yes
(a)

Type of property (list
vehicles first)

(b)

Date placed in
service

(c)

Business/
investment
use
percentage

(d)

Cost or other
basis

No

24b If “Yes”, is the evidence written? Yes

(e)

(f)

Recovery
period

Basis for depreciation
(business/investment
use only)

(g) Method/
Convention

25 Special depreciation allowance for qualified listed property placed in service during the
tax year and used more than 50% in a qualified business use (see instructions)

(h)

No
(i) Elected

section 179
cost

Depreciation
deduction

Not Allowed for

25 Georgia Purposes

26 Property used more than 50% in a qualified business use:
%
%
%

27 Property used 50% or less in a qualified business use:
%

S/L-

%

S/L-

%

S/L-

28 Add amounts in column (h), lines 25 through 27. Enter here and on line 21......................... 28
29 Add amounts in column (i), line 26. Enter here and on line 7, page 1 ..........................................................

29

Section B--Information on Use of Vehicles

Complete this section for vehicles used by a sole proprietor, partner, or other “more than 5% owner,” or related person. If you provided vehicles to your
employees, first answer the questions in Section C to see if you meet an exception to completing this section for those vehicles.

30 Total business/investment miles driven

during the year (do not include commuting
miles).......................................................

(a)

Vehicle 1

(b)

(c)

(d)

Vehicle 2

Vehicle 3

Vehicle 4

(e)

(f)

Vehicle 5

Vehicle 6

31 Total commuting miles driven during the year
32 Total other personal (noncommuting)
miles driven ...........................................

33 Total miles driven during the year.

Add lines 30 through 32 ........................

34 Was the vehicle available for personal use
during off-duty hours? ...........................

35 Was the vehicle used primarily by a more
than 5% owner or related person? ........

36 Is another vehicle available for personal
use? .......................................................

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

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Page 3

Form 4562 (2023)

Section C--Questions for Employers Who Provide Vehicles for Use by Their Employees

Answer these questions to determine if you meet an exception to completing Section B for vehicles used by employees who are not more than 5%
owners or related persons.

37 Do you maintain a written policy statement that prohibits all personal use of vehicles, including commuting, by
your employees? ................................................................................................................................................
38 Do you maintain a written policy statement that prohibits personal use of vehicles, except commuting, by your employees?
See IRS instructions for vehicles used by corporate officers, directors, or 1% or more owners ..........................
39 Do you treat all use of vehicles by employees as personal use? ........................................................................
40 Do you provide more than five vehicles to your employees, obtain information from your employees about the
use of the vehicles, and retain the information received? ....................................................................................
41 Do you meet the requirements concerning qualified automobile demonstration use? ...................................................
Note: If your answer to 37, 38, 39, 40, or 41 is “Yes,” do not complete Section B for the covered vehicles.

Part VI

Amortization
(a)

Description of costs

(b)

Date amortization
begins

(c)

Amortizable
amount

(d)

Code
section

(e)

Amortization
period or
percentage

42 Amortization of costs that begins during your 2023 tax year (See IRS instructions):

43 Amortization of costs that began before your 2023 tax year ..................................................... 43
44 Total. Add amounts in column (f) ................................................................................................... 44

Yes

No

(f) Amortization
for this year