Business Asset

[mackyd]

I started a business in 2022.  I built a building on my property for 100% business use for my woodworking business.  Can I expense it all this year or do I need to depreciate over time?

[tagteam · Accepted solution]

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@mackyd wrote:

I built a building on my property for 100% business use for my woodworking business.  Can I expense it all this year or do I need to depreciate over time?

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You are going to have to depreciate the building as an asset over time. Specifically, the building would be nonresidential real estate which has a recovery period of 39 years. 

[tagteam]

You might also want to consult with a local tax professional and/or legal counsel as there may be more beneficial ways to structure the real estate expense (and expenditures) in conjunction with your business.