Equipment and depreciation "What the fuck is depreciation?" may now ask the amateur photographer. Not so those who are working as freelancers in the media scene.
depreciation is the abbreviation for "A
bsetzung f UR A bnutzung.
And what is that which we experienced in the Income Tax Act
(ITA). Namely in its
§ 7. useful life of the asset
. as photographers and videographers of the digital age but then we think immediately of the development cycles by an average of 18 months for newer, better and more expensive devices, such as in the D-SLR.
But we could then write off such a camera in this period because the operation would also be the normal life is far from it.
For, as is the long, determined that neither the camera manufacturer nor do we, but the Minister of Finance.
There is the so-called
depreciation tables.
Lo and behold, much to our dismay, we note that the usual life span (and thus the settling period) for
photo, film, video and audio equipment 7 years (twenty-seven years) is ( by the way: the former had once been five years).
Sure, that does not mean that we previously could not buy a new one. It is, however, that we write off our list further deposition equipment, we may have already sold and replaced with new ones. Whereas, the sale proceeds in full flow to the sale as revenue. New investment in fixed assets - a loss
This title may sound provocative, but it is true. In any case, if I invest without coercion. If I prove to my tax office can not invest that I had and have therefore given a shorter settling time must
. For the financial management has since quite a Ermesensspielraum to give in some cases shorter periods.
could in the photo and film are about, that I compete without investment and new acquisition of a technically improved equipment is no longer in my industry and would thus endanger the existence of my company. Specifically
as I would have to carry proof that I could not only sell my "antiquated" D2H photograph taken more. I strongly existentially can not wait until the end of 2011, but as early as 2008 would have had to replace. I would be impossible. Because I sell these images as before.
course prevents me not because I buy a new camera and then again discontinued. No, but the absence of shorter deposition period I set but the "old" in addition to the seven years from next gone. And that's a loss.
calculation:
I have such a device at a price of 2.100, - € bought. In a seven-year removal period (and straight-line depreciation) are the 300, - € per year. decide after two years I have spare.
I have 600, - € discontinued and the device has an entry in the residual value of 1.500, - €. And I assume now time for simplicity, I get the same price when selling.
what's this? The 1.500, - € proceeds in this year full extent of the taxable Incomes. However, I can not get this rest-to-book full of my tax liability is deducted, but in amounts of 300, - € only on a further five years.
So I have to finance the new purchase to pay taxes plus the sale proceeds of old equipment, plus still only the rule-based deduction for a device that I no longer possess.
I have therefore by my calculation example in the year of initial purchase and sale 1,200 - € fully tax (1.500, - € residual value less 300, - € deposition) at my expense. And that is the reason why a media entrepreneur invests only if he actually has and not when he "pleasure" to a new device added (which can, strictly speaking, only provide the well-heeled amateur).
Or At length by his equipment leasing . For in contrast to the acquisition by purchase and longer amortization periods (for example, are also in a car six years!) Are lease rates as operating expenses immediately and fully tax deductible.
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