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whether you purchased off the shelf software included within the website purchase price, if you did, it would be amortizable over 3 years. Also, if you ever abandon a website, there would be a way to remedy the need to accelerate the deduction. But, in your case, you'll probably just need to amortize it over 15 years. Just be aware there may be exceptions out there. The tax code has always been in strife with itself.
However, if the software is stated and sold separately, not as part of a business acquisition, it can be amortized on a straight-line basis over 36 months. Off-the-shelf computer software can also qualify for Code Sec. 179 small business expensing if it is placed in service in a tax year beginning in 2012.he taxpayer may instead elect to capitalize the cost of the software under Code Sec. 174(b) and to amortize the costs over 60 months, beginning at the time the software is completed.