Source: https://auroratrainingadvantage.com/webinars/expense-vs-capitalize-1/
Timestamp: 2020-02-25 16:08:13
Document Index: 531624864

Matched Legal Cases: ['§ 162', '§ 263', 'art 00', '§ 179', '§ 179', 'arts 01', 'arts 01']

§ 162: Ordinary $ Necessary 00:02:31
Note: Election Available 00:02:58
§ 263: No Deduction For: New Buildings/Improvements 00:05:18
The Landscape 00:09:13
The BAR Exam 00:12:52
Betterments 00:13:34
Adaptions 00:15:05
Restorations 00:16:23
Definition of Major Component 00:18:23
Definition of Substantial Structural Part 00:20:13
Burden Always on the Taxpayer 00:21:05
Improvement or Repair? 00:24:03
Unit of Property 00:26:14
Non-Building 00:28:15
Buildings 00:30:58
De Minimus Safe Harbor 00:34:36
The De Minimus Safe Harbor Truce 00:35:08
Safe Harbor Requirements 00:40:00
Safe Harbor Carve-Outs 00:40:50
De Minimus Safe Harbor Election 00:41:43
Election Statement 00:42:19
Small TP Building Improvements 00:43:59
Small TP Building Improvements: Lessees 00:45:29
Small TP Building Improvements: “Small Taxpayer” 00:45:53
Small TP Building Improvements: 2 Restrictions of Note 00:46:39
Small TP Building Improvements: Attach Statement 00:47:42
179 Deduction 00:50:40
Expanded Coverage 00:51:57
Non-Qualifying Property 00:55:40
Purchased and Placed in Service Requirement 00:57:59
Business Use 00:59:26
Recapture 01:02:29
Recapture Example 01:05:39
No § 179 Deduction for Cars 01:07:07
$25,000 § 179 Deduction for SUV’s 01:07:14
Heavy SUV’s 01:07:47
Non-SUV’s 01:07:56
Bonus Depreciation 01:08:55
Elements of Cost Segregation Study 01:09:44, 01:11:42
Elements of Cost Segregation Report 01:12:20
Organizational Costs 01:14:19
Start-Up Costs 01:14:52
Organizational and Start-Up Expenses 01:15:45, 01:16:05
Organizational Costs 01:16:27
Start-Up Costs 01:16:45
Non-Qualifying Costs - Corps 01:17:30
Example 01:18:01, 01:18:40
Making the Election 01:19:22
Materials and Supplies 01:20:24
Definition of Materials and Supplies 01:25:14
Incidental Materials and Supplies 01:27:12
Non-Incidental Materials and Supplies 01:27:40, 01:29:00
Non-Incidental Materials and Supplies Examples 01:31:17
All Materials and Supplies Fall Under De Minimus Safe Harbor 01:31:56
Spare Parts 01:32:54
Rotables and Temporaries 01:36:49
Capitalizing Spare Parts 01:38:59
Presentation Closing 01:39:53
Amortization 00:08:47
Betterment 00:06:14, 00:13:37
De Minimus Safe Harbor 00:34:40, 01:32:02
Election Statement Section 1.263(a)-1(f) 00:42:28
Expenditure 00:03:20, 00:09:34
Expense 00:02:42
Form 4562 01:19:35
Heavy SUV Deduction 01:07:21
Incidental Materials 01:22:08
Intangible Property 00:08:03
Material and Supplies 01:20:29
Non-incidental Materials & Supplies 01:22:10
Personal Property 00:07:15
Real Property 00:07:13
Section 1245 01:02:38
Section 162 00:02:37, 00:06:41
Section 179 Deduction 00:50:40, 00:59:33
Section 263 00:05:29
Tangible Property 00:05:57, 00:07:08. 09:09:18
Tax Cuts and Jobs Act 00:55:04, 01:07:26
Unit of Property 00:20:24, 00:26:19, 00:31:02
Amortization: An accounting term that refers to the process of allocating the cost of an intangible asset over a period of time. It also refers to the repayment of loan principal over time. (investinganswers.com)
Betterment: An improvement to an asset that makes the asset more efficient or more productive. In real estate terms, betterments are improvements to a property or to surrounding infrastructure, such as roads or sewers, that boost the value of a property. In business, a betterment is a capital expenditure that improves the value of an asset or extends its useful lifespan.
De Minimus Safe Harbor: The de minimis safe harbor is simply an administrative convenience that generally allows you to elect to deduct small-dollar expenditures for the acquisition or production of property that otherwise must be capitalized under the general rules
Election Statement Section 1.263(a)-1(f): This rule provides for a safe harbor applied at the invoice or item level, based on the policies used by a taxpayer for its financial accounting books and records. A taxpayer is generally required to capitalize amounts paid to acquire or produce a unit of real or personal property.
Expenditure: An expenditure is money spent on something. Expenditure is often used when people are talking about budgets.
Expense: Offset (an item of expenditure) as an expense against taxable income.
Heavy SUV Deduction: If the vehicle is classified as an SUV under the tax rules, the Sec. 179 deduction is limited to $25,000. Heavy non-SUVs — such as long-bed pickups and vans — are unaffected by the $25,000 limit.
Incidental Materials : “Incidental” materials and supplies are personal property items that are carried on hand and for which no record of consumption is kept or for which beginning and ending inventories are not taken. In other words, these are inexpensive items not worth keeping track of.
Materials and Supplies: Under the regulations, material and supplies means tangible property that is used or consumed in business operations
Non-incidental Materials & Supplies: Non-incidental items are those for which a record of consumption or inventory is kept and can include items such as spare parts and inventory items for small businesses.
Personal Property: Personal property is something that you could pick up or move around. This includes such things as automobiles, trucks, money, stocks, bonds, furniture, clothing, bank accounts, money market funds, certificates of deposit, jewels, art, antiques, pensions, insurance, books, etc.
Section 1245: Section 1245 Property is any new or used tangible or intangible personal property that has been or could have been subject to depreciation or amortization. Examples of tangible personal property are machinery, vehicles, equipment, grain storage bins and silos, blast furnaces, and brick kilns.
Section 162: Section 162(a) allows a deduction for all the ordinary and necessary expenses paid or incurred during the taxable year in carrying on any trade or business. Section 262, however, provides that no deduction is allowed for personal, living, or family expenses
Section 179 Deduction: Section 179 of the IRS Code was enacted to help small businesses by allowing them to take a depreciation deduction for certain assets (capital expenditures) in one year, rather than depreciating them over a longer period of time. Taking a deduction on an asset in its first year is called a "Section 179 deduction.
Section 263: Section 263(a) of the IRC requires you to capitalize the costs of acquiring, producing, and improving tangible property, regardless of the size or the cost incurred. The tax law has long required you to determine whether expenditures related to tangible property are currently deductible business expenses or non-deductible capital expenditures.
Unit of Property: Per the regulations, a “unit of property” is comprised of all components that are functionally interdependent. So, a truck (including its engine, chassis, doors, etc.), or a building and its structural components (including the walls, roof, windows, etc.), comprise a unit of property.