Depreciable Property

DEFINITION of 'Depreciable Property'

Any type of asset that is eligible for depreciation treatment. Depreciable property can include vehicles, real estate, computers and office equipment, machinery and heavy equipment, and several other categories of assets. Depreciable property items tend to be long-term assets.

BREAKING DOWN 'Depreciable Property'

There are several different depreciation schedules offered for the various classes of depreciable property. Certain things, like land, cannot be depreciated. Depreciation is reported on Form 4562 and the instructions for depreciating an asset are found in IRS Publication 946.

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RELATED FAQS
  1. Is depreciation only used for tangible assets?

    Learn if tangible assets can be depreciated, as well as what other assets are eligible for depreciation so you can account ... Read Answer >>
  2. What is the relationship between accumulated depreciation and depreciation expense?

    Understand the relationship between accumulated depreciation and depreciation expense. Learn how each one is accounted for ... Read Answer >>
  3. How does accumulated depreciation affect net income?

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  4. Can real estate be depreciated?

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  5. Why does accumulated depreciation have a credit balance on the balance sheet?

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  6. What would cause a decrease in accumulated depreciation?

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