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Taxes

Accelerated depreciation

A common method of depreciating business assets is known as the accelerated method. This method allows taxpayers to allocate larger deductions towards the beginning of the asset's useful life. This is especially beneficial for assets such as plant and machinery, which may lose their value more quickly. By utilizing this method, taxpayers can reduce their taxable income in the earlier years of the asset's use, leading to potential tax savings. It is important to note that the accelerated method is just one option for depreciation and should be carefully considered alongside other methods when making financial decisions for your business.

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