Unit of Property

How do I Decide Whether to Expense or Depreciate Expenditures on my Building?

Have the Tangible Property Regulations changed the rules for determining whether an expenditure is a deductible repair or a capital improvement? The Tangible Property Regulations put existing case law and prior tax regulations into a structure to help you determine whether an expenditure is deductible or must be capitalized because it’s a major improvement, restoration, …

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What is a Unit of Property?

The Unit of Property (UOP) concept is not new, but the rules are new to The Tangible Property Regulations under ยง 1.263(a). In the past, the regulations did not define property for the purposes of determining whether an expenditure after an asset is placed into service adds value to the property, extends the useful life …

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