Articles - Charles J. Gries & Company L.L.P. Certified Public Accountants


Articles: Gift Away Your Tax Liability Saving for College Home Mortgage Rates Why do I get this Statement of Comprehensive Income? Why do I have to Pay Quarterly Estimated Tax Payments? Depreciation of Assets
Depreciation of Assets
As public accountants, one question frequently asked of us is "How long do I need to depreciate this new asset?" It is often a challenge to remember the recovery periods for various types of assets, especially some of the less common ones. To help alleviate this challenge, we have compiled the following list that documents the book and tax recovery periods for the more common types of assets purchased after 1986. If you have questions regarding the recovery periods or type of assets, please do not hesitate to contact our office.
Type of Assets Office furniture Office equipment Computers and peripheral equipment Typewriters, calculators, copiers Fax machines Telephone systems Computer software Airplanes Automobiles Light & heavy general purpose trucks Trailers Water transportation equipment Land improvements (i.e. sidewalks, roads, drainage, bridges, fences, landscaping) Furniture & fixtures in rental property Appliances in rental property Section 1245 real property with no class life Residential rental real property Nonresidential real property Machinery and equipment Leasehold improvements Intangible assets	Book Recovery Period 7 years 10 years 5 years 5 years 7 years 7 years 3 years 10 years 10 years 5 years 5 years 15 years 20 years 7 years 7 years 10 years 40 years 40 years 10 years 40 years 15 years	Tax Recovery Period 7 years 7 years 5 years 5 years 7 years 7 years 3 years 5 years 5 years 5 years 5 years 10 years 15 years 5 years 5 years 7 years 27.5 years 39 years 10 years 39 years 15 years