Quote Originally Posted by fungus pudding View Post
I've never heard of that and don't understand it. On a sale tax is paid on depreciation that has been claimed, but then recovered; so it's hard to imagine how any tax could be calculated when no claim was made and therefore nothing recovered. I think you've got something a bit haywire there.
I have heard of this and it is stated in various IRD publications, but have never heard of an example of the IRD enforcing the point where no 'application not to depreciate' has been filed.