Irene2805
Expert Alumni

Business & farm

No - I agree that the $159 knife (and other tools) in reality might last for several years, but as an accounting/tax practice the cost is normally treated as an expense and not depreciated.

 

In the end, there is no rule that says you cannot depreciate assets you purchased that otherwise would be expensed. But once you start items on depreciation they stay on the depreciation schedule through their expected life.