| Show 00 Your Income Tax Toy No Business property kept in repair re- re repair pair may bo be the subject of ot a de de- de depredation predation allowance The allow allow- allowance anco ance for tor depreciation Is 15 intended to cover the estimated lessoning lessening lit III value of oC tho the original property properly duo due to the wear and tear decay etc which In III time timo will require the abandonment or replacement of at the property In spite ot of ordin ordin- ordinary ordinary ordinary ary current repairs Tho The cost of Incidental repairs which neither materially add to the value of ot the property nor appreciably prolong Its life lIe may be deducted as a bus bus- busIness business iness mess expense lIse provided tho the plant or property account Is not in- in inCreased In Increased creased by the tho amount of ot such expenditures If H however the repairs arc are of such kind as to make good the depreciation for tor example II a a new floor or a II new roof root the cost is I Inot not deductible The amount ex- ex ex expended by a taxpayer during the tax ble year ear eu tor for Improvements replacements or renewals ot or a permanent nature Is a capital ex- ex expenditure ex expenditure and may not be deduct deduct- deducted cd ed from Crom his hi gross Income for tor such taxable year The amount so cx- cx ex expended I I should be bo charged directly to the tho property account or to a re reserve account according ac according cording to how depreciation charges are aro treated d In the tax taxpayer's tax tax- taxpayer's taxpayer's payers payer's books of at account A pro rata portion thereof may be de de- de ducted dc-ducted ducted as depreciation each year ear car ot of tho life liCe of at such improvements tor for must be ho made as a It separate Item ot of the return and must be bc ex ex- ex explained by showing each class of ot property Its cost fair market value as all of ot Starch MArch 1 1913 If acquired prior to that date depreciation charged oft off for Cor Corthe forthe the taxable year ear and total depre- depre depreciation elation charged oft off tor for alt all taxable years I 00 00 |
