4 ms·
Was capex preferred due to preferential tax treatment?
by catmanjan 5y ago
Was capex preferred due to preferential tax treatment?
- andrewlgood 5y agoNo. You actually get better tax treatment for opex as you can record the full amount of the expense immediately as a deduction against your income. Capex spreads the deductibility of the expense over years. As I mention above, opex vs capex is usually a compensation issue.