Ask a tax advisor on the topic of Other questions to tax advisors

Depreciation

August 16, 2009 | 15,00 EUR | answered by Dipl.BW/SB Ulrich Stiller

Hello,
we intend to fence our commercial property anew. So tear down the old fence and have a new fence built. Can we claim the costs immediately?

Dipl.BW/SB Ulrich Stiller

Dear client,

Thank you for your inquiry, which I would like to answer based on the information you provided and in the context of your situation in a initial consultation as follows:

If the commercial property is part of your business assets, then the expenses for replacing the fence are deductible as operating expenses, meaning you can deduct these costs immediately.

If the commercial property is part of your personal assets and you generate rental income from it, then the expenses for replacing the fence are deductible as advertising costs in the context of rental and leasing income, meaning you can deduct these costs immediately.

I hope my explanations have been helpful to you.

Best regards,

Ulrich Stiller
Tax advisor