Quote Originally Posted by Wilkins_Micawber View Post
But you have it both ways - you deduct the expense of the repairs AND claim depreciation on the items being repaired. I only disagree with the ability to claim depreciation on the buildings as they do not really depreciate (providing that normal repairs and maintenance are carried out).
Of couse they depreciate. Name one compnent, roofing material, timber paint, plumbing, wiring - that doesn't depreciate.
Ask yourself whether you would pay more for a 20 year old building, or a brand new one, built next door on a comparable site, using the same plans and materials - an exact replica. Or to put it another way - every day of a building's life it moves further below its replacement cost. That is depreciation.