Daycare.com Forum

Daycare.com Forum (https://www.daycare.com/forum/index.php)
-   Daycare and Taxes (https://www.daycare.com/forum/forumdisplay.php?f=8)
-   -   Depreciation (https://www.daycare.com/forum/showthread.php?t=61241)

AnythingsPossible 04-02-2013 11:19 AM

Depreciation
 
What is the proper form to use for depreciation of new windows and new furniture? I imagine it is a different time frame for these purchases. Does the 50% rule apply to both?

TomCopeland 04-02-2013 05:33 PM

Depreciation
 
Quote:

Originally Posted by AnythingsPossible (Post 337802)
What is the proper form to use for depreciation of new windows and new furniture? I imagine it is a different time frame for these purchases. Does the 50% rule apply to both?

I would treat new windows as a home improvement - depreciate over 39 years, not eligible for the 50% bonus rule.
I would treat new furniture as personal property - depreciate over 7 years, is eligible for the 50% bonus rule.

AnythingsPossible 04-06-2013 04:32 PM

Why would something that won't technically last 39 years be depreciated over that amount of time? Seems like a long time to me. Based off of that, I will only be deducting approximately 30 dollars a year based on time/space and the number of years for an improvement that cost nearly 6,000. My math may not be quite right, but it still seems quite low.

Unregistered 04-07-2013 03:45 AM

My new furnace which cost over $5000 last year gave me an $8 depreciation deduction for this year. Yep. $8.

TomCopeland 04-07-2013 01:36 PM

home improvements
 
Quote:

Originally Posted by AnythingsPossible (Post 339729)
Why would something that won't technically last 39 years be depreciated over that amount of time? Seems like a long time to me. Based off of that, I will only be deducting approximately 30 dollars a year based on time/space and the number of years for an improvement that cost nearly 6,000. My math may not be quite right, but it still seems quite low.

It's true that home improvements give you very little deduction each year. If they wear out before the end of 39 years you can claim all remaining depreciation in that year.


All times are GMT -7. The time now is 08:12 AM.