Hello

My exgirlfriend Mary the tax specialist just answered my email:First scenario: you can not take any deduction if you took the entire section 128 deduction in 2001. By taking the entire section 128 deduction, it means that you fully depreciated it in that year (2001). Therefore, you have no depreciation left.

Second scenario: If you buy it and sell it in the same year, you can take only the depreciation for the time you had it. For example, if you have it half a year, then you get half a year depreciation. You would not have taken the deduction for depreciation because you would have not prepared your tax return before you sold it.

Hope this answers your questions.
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