In practice, depreciation does not eliminate tax cost over time. It merely redistributes it. When an asset is eventually disposed of, depreciation recapture comes into play, a mec ...

What is depreciation? Learn how it works, the main methods and how it impacts your business taxes and accounting.

As the new year begins, many people are beginning to think about possible tax planning strategies to use in 2022 that could reduce their tax bill next year. While a plethora of strategies are ...

Assets like equipment, vehicles and furniture lose value as they age. Parts wear out and pieces break, eventually requiring repair or replacement. Depreciation helps companies account for the ...

When a company acquires assets, those assets usually come at a cost. However, because most assets don't last forever, their cost needs to be proportionately expensed based on the time period during ...