Is the commercial building tax incentive a tax deduction or tax credit?
A. It is an accelerated tax deductuin fir capital improvements to new or existing buildings. More specifically, this provision allows a company to write off a significant portion (up to $1.80 per square foot) of a capital investment in an energy efficient lighting, HVAC and building materials in the year it was installed. IRS Rules for writing off investments in long term capital assets varies, but can be as long as 39 years of capital improvements to building structures. The ability ti immediately deduct almost the full cost of such capital investment provides a significant financial incentive to a for-profit company.
Related Questions
- If a building already has bi-level switching, can its cost be claimed for the purposes of the Commercial Building Tax Deduction?
- Is the commercial buildings tax incentive a tax deduction or a tax credit? Are new buildings and existing buildings eligible?
- Is the commercial building tax incentive a tax deduction or tax credit?
