The initial value of used real estate

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[size=14.6667px]or after its purchase, the owner incurred significant expenditure on its renovation or improvement, which are not always properly documented, may be problematic. It is therefore not surprising that entrepreneurs have a dilemma as to what value of the property should be included in the declaration that will be the basis for inclusion in the register. Below we will describe the tax authorities' approach to this topic. Determining  - the approach of the tax authorities.[size=14.6667px]

[size=14.6667px]When talking about the approach of the tax authorities, we mean the position they present in the issued tax interpretations. In one of the philippines photo editor[size=14.6667px] interpretations from . . year no. -KDIT . . . . .DW was raised by the Director of the National Tax Information of KIS on the following issue. The spouses acquired the property in marital property many years earlier. In the meantime, they incurred significant expenditure on its renovation.[size=14.6667px]

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[size=14.6667px]After a few years, the spouses decided to introduce the property to business activity and start depreciating it, taking as the initial value the market price from December of the year preceding the year of establishing the register of fixed assets. The Director of KIS did not agree with this approach and considered the spouses' position incorrect. In the justification, he wrote, among other things, that the initial value is the purchase price in the event of a paid purchase.