Should You Replace Fully Depreciated Equipment?
In simple terms, depreciation is recognizing the cost of an asset over a specified period of time. Depreciation begins when the business places an asset in service. The asset ceases to be depreciable when the business has fully recovered its cost or when the taxpayer retires it from service, whichever happens first. Once a business […]
How to Depreciate Assets
Depreciation is the recognition of an asset’s cost over a longer period of time (i.e. years vs. absorbing a major expense all at once). Depreciation begins when a business places an asset in service, and ends when the business has fully recovered the asset’s cost — OR when the taxpayer retires it from service, whichever […]