Ask Experts Questions for FREE Help !
Ask
    nothrills's Avatar
    nothrills Posts: 1, Reputation: 1
    New Member
    		  
    #1

    Jul 27, 2009, 09:16 AM
    GAAP treatment of moving costs of equipt
    Can any moving costs associated with the moving of equipment and disconnect and subsequent reconnect of said equipment be capitalized according to GAAP?

    Can it be capitalized for tax purposes?
    morgaine300's Avatar
    morgaine300 Posts: 6,561, Reputation: 276
    Uber Member
    		  
    #2

    Jul 27, 2009, 04:02 PM

    Possibly. It has to provide a future benefit (i.e. you didn't just move it cause it matched the paint on the other wall better) and be material. If you can determine the book value of the prior installation it's treated as a replacement of similar asset. But since that's probably impossible, it can be capitalized and amortized over the future benefit period. If the future benefit is questionable, you need to expense it.

    Tax-wise -- I'm not the one to answer that.
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Can probation officer remove you from treatment center whilyou are getting treatment [ 1 Answers ]

Can probation officer come remove you from mental facility after suicide attempts while being diagnises with bipolor disorder and receiving treatment for such denying him prescribed treatment by dr,and through you in jail for discresionary time because he basically soughtr out his own treatment...

Accounting Sales Price Variable Material Costs Fixed Monthly Costs [ 0 Answers ]

I have no clue where to begen with this, I could use some help! Its due on Friday night and the teacher as done nothing to help here. I'm totally lost. The individual portion of this assignment is for each person to produce his/her own solution to the following. Claire’s Antiques has fixed cost...

Moving Costs [ 1 Answers ]

I need to obtain the approximate cost to move the contents of an average 3 bedroom home from Laramie, Wyoming 82070 to Santa Clara, California 95055.

View more questions Search