Quote:The IRS doesn't allow you to avoid depreciating a capital asset. They want to make sure you show a fair amount of income to get taxed. Expensing something considered a capital asset all in the first year would violate acceptable depreciation practices set out by the tax code and would be considered a form of tax evasion.

The IRS does not regulate bookkeeping. If Khan wants to show a loss, he isnt pulling out his tax return.


I agree though, whatever Khan spent and the city spent should be capitalized on their own books.


So if Khan has 25 mil of Khans own money depreciated over 15 years with lets say 15% residual value, that is 1.4 mil expense every year. I admit sounds like not a big deal for an nfl team, but thats assuming the jaguars do well on their owb apart from shared revenue.

---