Woodweight loss due to humidity reduction not deductible as depreciation
Technical details
Summary
A taxpayer asks whether wood weight loss due to humidity reduction is deductible in personal income tax. The DGT responds that wood is inventory and not investment assets, so depreciation does not apply.
In 6 key points
How it affects those involved
The loss in weight of wood due to humidity reduction is not deductible as depreciation since wood is classified as inventory rather than investment assets.