PPT-Tax Issues for Farmers: Depreciation Tools

J C Hobbs Extension Tax Specialist 5802377677 jchobbsokstateedu Depreciation Tools Based upon 2017 Tax Laws Options available Use in Income Tax Management Depreciation What is depreciable Machinery equipment vehicles certain livestock buildings and other farm assets with a useful life greater than one year. Chapter . 12. Accrued depreciation. Age-life method. Book value. Capitalized income method. Cost basis. Cost-to-cure method. Curable depreciation. Curable postponed. Current-value accounting. Deferred maintenance. Reference sections: 123(2) and Schedule II. . PART-A. 1- Depreciation is the systematic allocation of the depreciable amount of an asset over its useful life. The depreciable amount of an asset is the cost of an asset or other amount substituted for cost, less its residual value. The useful life of an asset is the period over which an asset is expected to be available for use by an entity, or the number of production or similar units expected to be obtained from the asset by the entity. Chapter 8. McGraw-Hill/Irwin. © 2009 The McGraw-Hill Companies, Inc.. Accelerated Depreciation. Depreciation. Repair. Expense. Expense. Early Years. High. Low. Later Years. Low. High. Accelerated depreciation . Dr. Kent Fleming. Department of Applied Economics, OSU. 1. January 15, 2015. OSU- SOREC. January 16, 2015. UCC - SOWI. January 20, 2015. OSU- Yamhill . Tax Avoidance. Tax . evasion. is a crime, but tax . Revenue Canada . for tax purposes. Depreciation itself is a non-cash expense; consequently, it is only relevant because it affects taxes. Depreciation tax shield = DT. D = depreciation expense. T = marginal tax rate. All manufactured items decrease in value over time – as they wear out or are replaced by better technology.. This is called depreciation.. This is regarded as an expense.. The loss in value of an item can only be estimated as the real cost is only known when the item is sold.. of Accounts. Workshop for Accountants. ICAI . Bhawan. , . Vadodara. – 8. th. July, 2014. *********************************************. CA. . Kejal. V. . Pandya. Partner. Contractor, . Nayak. & . Types of Taxes. Who are liable for TAX?. Individuals. Companies. Firms (partnerships). Association of persons or bodies of individuals. Local authority (municipal bodies). Artificial juridical person. 30. Chapter 9. Contemporary Engineering Economics. Copyright © . 2016. Chapter Opening Story . Delta Airlines has invested $100 million in improving luggage handling technology and equipment.. How. does the cost of this . Chapter . 12. Accrued depreciation. Age-life method. Book value. Capitalized income method. Cost basis. Cost-to-cure method. Curable depreciation. Curable postponed. Current-value accounting. Deferred maintenance. Speakers:. Dawn Polin. Senior Manager, Cherry . Bekaert. LLP. Cathy Harris. President, Harbor Tax Group. Agenda. The preferential 1231 LT capital gain rate of 20% was put in place to encourage investment . Agricultural . Economics Learn . at Lunch. February 19, 2019.  . J C. Hobbs. Associate . Extension Specialist. Agricultural Economics Dept.. Income Tax Management. Beginning of year tax management tools that affect the current and future years.. 11/23/2011 5:59 AM. Dr. Mohammad Abuhaiba, PE. 1. 7.2 Depreciation Concepts and Terminology. Depreciation. Decrease in value of physical properties with passage of time and use. Accounting concept establishing annual deduction against before-tax income. BY ASST. PROF DR. J . SAHA. DEPARTMENT . OF COMMERCE. Depreciation. . Accounting. Definition. A measure of . the . wearing . out, consumption or other . loss of . value of depreciable . assets .