Section 179 expensing lets businesses deduct the entire cost of certain equipment on their federal tax return in the year of purchase. This item addresses how S corporations and partnerships that have a Sec.179 recapture event should report the event to their owners. Section 179 of this code allows businesses to deduct the full amount of their purchases from gross revenue. As a rule of thumb, assets with a depreciable life of three, five, seven, 10 or 15 years would qualify for Section 179. When looking at form 4797, it put the sale price of the piece of equipment as a gain on sell of asset. When businesses purchase tangible property, in general, they are not allowed to deduct the full cost of the property in the year it was placed in service. When you dispose of an asset with a section 179 expense deduction, the disposition isn't included on Form 4684, 4797, 6252, or 8824.