Small Business Terms: What Are Installation Goods?

By QuickBooks Canada Team

0 min read

Installation goods refers to equipment or facilities such as buildings, cranes, manufacturing equipment, or heavy construction machinery. These goods fall into the category of capital goods because they require a large upfront investment, and are items that have a usefulness exceeding one year. As a result, if you are a business owner, you typically cannot write off the entire cost of installation goods in the year of purchase. Instead, you must write off these items incrementally over a period of years, as their value depreciates. Although there are some exceptions, most notably for movable machinery, installation goods tend to be permanently installed fixtures.

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Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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