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Problem -
Mikaela, a hazelnut farmer is attempting to save tax dollars so that they can expand their business, as consumers realize the health benefits from nuts and market prices keep increasing. Her current accountant says that all costs of planting new acreage must be capitalized and depreciated over the life of the new trees. In addition, the depreciation cannot begin until the trees bear nuts, usually between 7 to 10 years from planting.
What's your advice on this circumstance?
Special agricultural rules, Section 179, and Bonus Depreciation to manufacturing firms should be used.
Attachment:- Assignment.rar
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