AMORTIZATION OF INTANGIBLES
It is a term of taxation that relates to the method of cost deduction of an investment in an asset classified as non-tangible over its projected life. The basis of the cost of the intangible asset will be amortized in a 15-year period, not taking into consideration the actual life of the asset.
In the year when the asset is sold and acquired, the amortization that will be deducted for tax purposes will be prorated in a monthly basis.
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