Depreciating - Posted by Erick
Posted by Erick on July 12, 2003 at 14:27:54:
Is it correct that any expenditures between the time a property is purchased (not including property acquistion) and the “in-service” date needs to be capitalized?
So, would this also include things that would normally be expensed like: labor to clean the property, mowing the lawn, cleaning supplies, utility expenses, hazard insurance?
And all of these expenditures would have to be capitalized to the “building” asset (27.5 yrs), correct? So, in terms of componentizing, you wouldn’t be able to apply any of these general expenditures to any other component or asset besides “building”. Is this correct?
And therefore, if these expenditures have to be capitalized to the “building” asset, none would qualify for the section 179 or special depreciation allowances since these require lives