Bonus depreciation can again be part of tax strategy

BY EDMUND BROBESONG

Normally, depreciation is the method of allocating the cost of an asset over the period during which the asset is used. A depreciation method, life of the asset and convention are used to compute depreciation.

However, a new concept referred to as bonus depreciation was introduced after the attacks on the World Trade Center and other parts of the United States on Sept. 11, 2001.

Congress enacted a special depreciation allowance (i.e. bonus depreciation) for certain new personal property. In general, Congress allowed taxpayers to claim bonus depreciation on certain property equal to 30% of the . . .

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