Rate Of Depreciation (Noun)
Meaning
The rate at which the value of property is reduced; used to calculate tax deduction.
Classification
Nouns denoting possession and transfer of possession.
Examples
- The accountant carefully calculated the rate_of_depreciation for the company's new equipment to determine the annual tax deduction.
- The rate_of_depreciation for the rental property was higher than expected, resulting in a larger tax write-off for the landlord.
- The company's financial statements reflected a significant decrease in asset value due to the accelerated rate_of_depreciation of their machinery.
- To maximize tax savings, the business owner opted for a higher rate_of_depreciation for the new vehicle, spreading the cost over a shorter period.
- The IRS guidelines specified a standard rate_of_depreciation for certain types of assets, which the taxpayer was required to follow for tax purposes.