Exchange Currency

mid-month convention

A precedent established by the United States Internal Revenue Service (IRS) in order to simplify the recording of asset depreciation for businesses. According to the mid-month convention, a business may record a depreciable asset that was disposed of during a given month as having been disposed of at the mid-point of that month, instead of requiring the exact day for calculating depreciation.

Related information about mid-month convention:
  1. What is the mid-month convention? - Questions & Answers ...
    Nov 23, 2010 ... The mid-month convention states that, no matter when you purchase a fixed asset in a month, you assume that it was purchased in the middle ...
     
  2. With regard to depreciation, what does the term mid-month ...
    In depreciation, the mid-month convention means that an asset placed into service during a given month is assumed to have been placed into service in the ...
     
  3. Mid-Month Depreciation Convention Method
    The mid-month convention treats all property placed in service or disposed of during a month as placed in service or disposed of at the midpoint of the month.
     
  4. Applicable convention - Wikipedia, the free encyclopedia
    The second, the “mid-month convention,” assumes that all property placed into service, or disposed of, during any month was placed into service, or disposed of, ...
     
  5. mid-month convention - Business Definition
    mid-month convention definition: The accounting practice where, for purposes of depreciation, real property is placed in service or disposed of at the midpoint of ...
     
  6. Mid-Month Convention: Definition from Answers.com
    In taxation, with respect to depreciating residential and nonresidential real property, convention whereby property is deemed placed in service or disposed.
     
  7. When Does Depreciation Begin?
    The mid-month convention. Nonresidential real estate (a classification that includes home offices) must be depreciated using a mid-month convention. That is ...
     
  8. What is mid-month convention? definition and meaning
    Definition of mid-month convention: A precedent established by the United States Internal ... According to the mid-month convention, a business may record a ...