3 ms·
>Depreciating means that if you pay an engineer $200k in a year, in tax-world you only had $40k of real expense that year, even though you paid them $200k. wha
by fuzztester 1y ago
>Depreciating means that if you pay an engineer $200k in a year, in tax-world you only had $40k of real expense that year, even though you paid them $200k.
what happens if an engineer leaves after the first year, or at any other time?
what happens to the calculations then?
- kgwgk 1y agoNothing. The calculation has nothing to do with people. It’s about what the company spends - and some kind of spending is capitalized depending on what activity it was related to and what the output was. That doesn’t change if the employee that you paid a salary to leaves, or the company that you bought materials from disappears, etc.