Fixed asset and repairs services

Fixed asset income review

Many companies' fixed asset classifications are suboptimal due to to misclassification or case law changes, resulting in under-depreciation for tax purposes. Correct asset classification and depreciation timing can accelerate depreciation benefits in future years, and the accurate reporting of book-tax differences results in complete and accurate deferred tax basis reporting, leading to accurate filings and improved cash flow.

PwC can conduct a fixed asset income review to help your company accurately manage its fixed asset depreciation and optimize your depreciation benefits.

Tax repairs analysis

Deductions may be taken for all the ordinary and necessary expenses paid or incurred during the taxable year in carrying on any trade or business, including that neither materially add to the value of the property nor appreciably prolong its life, but keep it in an ordinarily efficient operating condition.

PwC can assist you with reviewing your current policies regarding how repair and maintenance costs are treated for federal income tax purposes, and identifying all available current year repair deductions.

PwC can help by:
  • Identifying missed depreciation or improperly depreciated assets.
  • Reviewing how your repairs and maintenance costs are treated and identifying all available current and past years’ repair deductions.
  • Analyzing the assets involved in new construction, asset acquisitions, or rehabilitation projects to assign assets to the appropriate recovery periods.