Tax and Accounting

Contents Includes

U.S. Master Depreciation Guide coverage includes:

• Discussion of the historical background of depreciation and depreciation fundamentals.
• Coverage of : (1) Modified Accelerated Cost Recovery System (MACRS), which was introduced by the Tax Reform Act of 1986, and is applicable to most tangible depreciable property in service after 1986;
• (2) Accelerated Cost Recovery System (ACRS) introduced by the Economic Recovery Act of 1981;
• (3) General rules for pre-1981 property;
• (4) Asset Depreciation Range (ADR) system which dates back to 1971;
• Code Sec. 179 expensing rules; and (5) Amortization of intangibles, including section 197 intangibles
• Listed property depreciation rules
• Depreciation of vehicles subject to "luxury" car caps
• Handling vehicle trade-ins, including luxury car caps and carryover basis
• Vehicle depreciation using the standard mileage rate, FAVR allowances, and other mileage based methods
• Like-kind exchanges and involuntary conversions
• Rev. Proc. 87-56 class life and depreciation period table reproduced in full text
• All MACRS depreciation tables reproduced in full text plus CCH-prepared Indian reservation property depreciation tables and tables that incorporate the effect of the first-year 30 percent and 50 percent bonus depreciation allowances
• CCH prepared decimal tables for computing pre-1981 depreciation using the straight-line, 150% and 200% declining balance, and sum-of-the years digits methods
• How to compute MACRS without using tables
• Identifying and depreciating land improvements
• MACRS depreciation rules for farm property, including farm asset classification table
• Handling leasehold improvements
• What to do if incorrect depreciation is claimed (amended return and change of accounting method rules)
• Distinguishing between a structure that is nonresidential real property (39-year recovery period) and a structure or land improvement that qualifies for a shorter recovery period
• Cost segregation discussion relating to the separate depreciation over shortened recovery periods of building components that qualify as personal property and land improvements that may be depreciated over 15 years
• Alternative Minimum Tax depreciation rules
• Abandonment, retirement, and obsolescence deductions
• Rapid amortization provisions
• Recovery of software costs
• Recovery of web site development costs
• Depreciation planning, including choice of method, recapture and Code Sec. 179 planning issues
• Appendices include final, temporary and proposed regulations relating to ACRS, MACRS, bonus depreciation, the income forecast method, Code Sec. 179 expensing elections, Code Sec. 197 amortization of intangibles, and Code Sec. 280F depreciation limitations on listed property, including luxury vehicles, and CCH-prepared depreciation decimal tables.
• Also includes a Case Table, Official Source Finding Lists that provide cross references to all cases and rulings contained in the text of the Guide, and detailed Table of Contents and Topical Indexes to help quickly locate needed information. It comes complete with the CCH-exclusive Quick Facts Card for convenient, at-a-glance reference to key depreciation figures.