The Election to Capitalize Carrying Charges Following ERTA and TEFRA.
研究了1981年和1982年税法改革后，纳税人是否选择将购置某些折旧资产的持有成本资本化，并发现该决策可简化为回报率的比较。
Abstract In spite of the many tax law changes that were enacted by the Economic Recovery Tax Act of 1981 and the Tax Equity and Fiscal Responsibility Act of 1982, taxpayers may continue to elect to capitalize carrying charges on the acquisition of certain depreciable assets. However, the new accelerated cost recovery system, the new investment tax credit provisions, and the new investment tax credit basis adjustment (or the election to claim a two percentage-point reduction in the investment tax credit) will all affect this election. Although the expense-capitalization decision appears to have a complex solution which depends on the required (or desired) rate of returns marginal tax rate, and recovery period, this analytical study reduces the solution to a simple comparison of rates of return.