FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Question

How does the tax depreciation methods generally permit a higher depreciation than the book depreciation methods?

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Book Depreciation: Book Depreciation means the amortization expense amount which are recorded in accounting books of the company and reflected in balance sheet.

Tax Depreciation: Tax depreciation means the amounts which are reported in company's income tax returns and on the basis of this amount, income tax will be calculated.

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