If I purchase some machinery, are the sales taxes on this purchase allocated to the machinery account or is there some other account that I would put these taxes? (ie: a deferred charge account or a special tax expense account?)
HELP!
2006-12-12 14:43:15 · 4 answers · asked by Lady D 3 in Business & Finance ➔ Taxes ➔ United States
Any costs related to the purchase of this machine (ie. sales taxes, shipping, installation) would be capitalized with the machine and depreciated.
2006-12-12 15:02:01 · answer #1 · answered by Wayne Z 7 · 2⤊ 0⤋
Sales taxes would go with the cost of the machinery.
2006-12-12 22:54:12 · answer #2 · answered by Judy 7 · 1⤊ 0⤋
Wayne Z is correct again..........damn geeky accountant!
You would have to capitalize exactly what he said as part of the basis to the machinery.
2006-12-13 13:51:58 · answer #3 · answered by Anonymous · 0⤊ 0⤋
expenses
2006-12-12 22:44:46 · answer #4 · answered by Anonymous · 0⤊ 2⤋