Form 4562 reports the section 179 election (Part I), the special depreciation allowance (Part II), MACRS depreciation for prior-year and current-year assets (Part III), the total (Part IV), listed property (Part V) and amortisation (Part VI). Each line is a sum the register already holds; the 2025 form adds lines for 50-year property, splits line 23 and adds line 24c.
Form 4562 is the register summarised in six parts.
Depreciation and Amortization is filed with the return of any taxpayer claiming depreciation on property placed in service in the year, a section 179 deduction, depreciation on listed property, or amortisation. Every line is a total that already exists in a fixed-asset register kept in a federal book: the section 179 elections, the bonus amounts, the MACRS deduction for prior-year assets, the current-year additions by class, the listed-property figures. The worksheet the register produces is entered or imported into the form; the sample worksheet on this site shows the layout for five assets.
| Part and line | What it asks for | Where it comes from in the register |
|---|---|---|
| Part I, lines 1 to 13 | Section 179: maximum amount, cost of section 179 property, threshold, reduction, elected cost by asset, listed-property amount from line 29, business income limitation, carryover | Section 179 elections by asset and year; the entity total of section 179 property; the carryforward |
| Part II, line 14 | Special depreciation allowance for qualified property placed in service in the year (100% for property acquired after 19 January 2025; 40% or 60% for earlier acquisitions) | Bonus amounts by asset for the year, from the acquisition date and the elect-out flags |
| Part II, lines 15 and 16 | Property subject to a section 168(f)(1) election; other depreciation including ACRS | Assets on units-of-production or non-MACRS methods; ACRS assets from 1981 to 1986 |
| Part III, line 17 | MACRS deductions for assets placed in service in tax years beginning before the current year | Depreciation expense for the year, filtered to prior-year additions, federal book |
| Part III, lines 19a to 19i | Assets placed in service in the year, by class (3, 5, 7, 10, 15, 20, 25-year, residential rental, nonresidential real, and the new 50-year line), with basis, recovery period, convention and method | Additions in the year grouped by class and convention; basis after section 179 and bonus |
| Part III, lines 20a to 20e | Alternative depreciation system assets placed in service in the year, including the new 50-year line | Additions on ADS, grouped |
| Part IV, lines 21 to 23 | Listed property total from line 28; the total to carry to the return; the section 263A portion, split on lines 23a and 23b on the 2025 form | The sum of the parts, and the flag on assets whose cost includes capitalised production costs |
| Part V | Listed property: business-use evidence, vehicles over and under 50% business use, the new line 24c for certain aircraft, mileage and employer questions | Business-use percentage by year on each listed asset; the passenger automobile caps |
| Part VI, lines 42 to 44 | Amortisation of intangibles by code section | Intangibles held in the register on amortisation methods |
What changed on the 2025 form.
The instructions for 2025 state the section 179 limits at $2,500,000 and $4,000,000 with the sport utility vehicle cap at $31,300, and the special allowance at 100% for property acquired after 19 January 2025 with 40% (60% for long-production property and certain aircraft) for property acquired earlier and placed in service in 2025, and the election to take 40% or 60% instead of 100%. Part III gains lines 19h and 20e for 50-year property under the general and alternative systems. Line 23 becomes 23a and 23b for the section 263A basis. Part V gains line 24c for certain aircraft. Qualified production property under section 168(n) takes its 100% allowance for property placed in service after 4 July 2025.
The order of the parts is the order of the calculation.
Part I comes first because the section 179 election reduces basis before anything else. Part II takes the special allowance on what remains. Part III takes MACRS on what remains after both, separately for assets that were already in service (line 17, one figure) and assets placed in service this year (lines 19 and 20, by class, because the convention and method have to be shown). Listed property runs through Part V and lands on line 21. Line 22 adds it up and goes to the return. A register that keeps the federal book with the acquisition date, the elections and the class on each asset produces all of it from one report; a spreadsheet produces it from memory. The section 179 article and the bonus depreciation article cover the two elections that feed Parts I and II.
Federal depreciation schedule, tax year 2026Schedule: Federal · Rates from Table A-1, Pub. 946 (2025)
| Asset | Description | In service | Cost | Method | Life | Prior | 2026 | Accumulated | NBV |
|---|---|---|---|---|---|---|---|---|---|
| 10120 | Nonresid. improvement, Bldg 2 | 06/2019 | SL | 39 | 312,000.00 | 52,666.67 | 6,000.00 | 58,666.67 | 253,333.33 |
| 10412 | Vertical machining center | 05/2023 | SL | 10 | 148,500.00 | 39,600.00 | 11,137.50 | 50,737.50 | 97,762.50 |
| 10577 | Delivery van, unit 7 | 09/2024 | SL | 5 | 58,900.00 | 15,706.67 | 8,835.00 | 24,541.67 | 34,358.33 |
| 10603 | Warehouse racking, aisle 3 | 01/2025 | SL | 7 | 24,300.00 | 3,471.43 | 2,603.57 | 6,075.00 | 18,225.00 |
| 10688 | Server cluster | 03/2026 | SL | 3 | 41,200.00 | 0.00 | 8,011.11 | 8,011.11 | 33,188.89 |
| 10240 | Office furniture, HQ 3rd floor | 06/2026 | SL | 7 | 9,600.00 | 0.00 | 457.14 | 457.14 | 9,142.86 |
| 09877 | Forklift, unit 3 | 04/2018 | SL | 7 | 31,750.00 | 31,750.00 | 0.00 | 31,750.00 | 0.00 |
| 10311 | Laptops (12), sales | 02/2024 | SL | 3 | 18,420.00 | 11,768.33 | 4,605.00 | 16,373.33 | 2,046.67 |
| Grand totals, 8 assets shown of 1,203 | 644,670.00 | 154,963.10 | 41,649.32 | 196,612.42 | 448,057.58 | ||||
What to record on the asset.
- The class and convention of every addition, because Part III reports additions by class.
- The section 179 election and the bonus amount per asset, because Parts I and II are their sums.
- Whether the asset is listed property and its business-use percentage, for Part V.
- Whether cost includes section 263A capitalised costs, for line 23.
- Intangibles with their code section and amortisation period, for Part VI.
In Fixed Asset Desk: the Form 4562 worksheet is a standard report from the federal book, Parts I to V by class and convention, exported for entry or import into the return; see reports and exports.
Sources: Form 4562 (2025) and its instructions, Internal Revenue Service; Publication 946 (2025); Revenue Procedure 2025-32. Checked 20 September 2026.