Initial or additional depreciation – 20% need to be allowed in first year to achieve the purpose of incentive. An amendment is desirable.

Initial or additional depreciation – 20% need to be allowed in first year to achieve the purpose of incentive. An amendment is desirable. https://www.taxtmi.com/article/detailed?id=1544 The document identifies an interpretive conflict between the mandatory grant of an incentive called initial depreciation, which is intended as a one time first year allowance on new eligible plant and machinery, and a proviso that appears to restrict that allowance when an asset is used for fewer days in the acquisition year. It argues that, given the incentive's purposive objective and mandatory statutory language, the full allowance should be available in the year of acquisition and that the proviso should be amended or removed to avoid litigation. en-us Wed, 21 Dec 2011 10:02:45 +0530 Wed, 21 Dec 2011 10:02:45 +0530 TaxTMI RSS Generator Initial or additional depreciation – 20% need to be allowed in first year to achieve the purpose of incentive. An amendment is desirable. https://www.taxtmi.com/article/detailed?id=1544 The document identifies an interpretive conflict between the mandatory grant of an incentive called initial depreciation, which is intended as a one time first year allowance on new eligible plant and machinery, and a proviso that appears to restrict that allowance when an asset is used for fewer days in the acquisition year. It argues that, given the incentive's purposive objective and mandatory statutory language, the full allowance should be available in the year of acquisition and that the proviso should be amended or removed to avoid litigation. Articles Income Tax Wed, 21 Dec 2011 10:02:45 +0530 https://www.taxtmi.com/article/detailed?id=1544