BulldogTom Posted February 16, 2021 Report Posted February 16, 2021 Client has a commercial building they use in their business. Put a coating on the roof (not a teardown and replace) that cost over $100K. The warranty on the coating is 10 years. They are not happy that I am telling them it is 39 years. Any chance I am wrong on this? Could it be anything other than 39 years for the useful life? I know they can §179 the full amount for Fed (not for CA - they don't conform) but what they really want is a 10 year life since that is all it is warrantied for. I can't find a way to get it to a shorter life. Thanks Tom Modesto, CA Quote
Abby Normal Posted February 16, 2021 Report Posted February 16, 2021 Could it be classified as repairs and maintenance? 1 Quote
BulldogTom Posted February 17, 2021 Author Report Posted February 17, 2021 27 minutes ago, Abby Normal said: Could it be classified as repairs and maintenance? I don't think so. It is the entire building. It is basically putting off for 10 years the replacement of the roofing system. Extending the useful life of a 50 year old building. But it is not that they want it all deducted right now, what they want is to spread it over the next 10 years because they think the tax rates are going up and they want a substantial deduction over the next few years. Tom Modesto, CA Quote
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