Almost every business must invest in some major equipment, vehicles, machinery, or furniture in order to operate. Some businesses will require assets such as land, a building, patents, or franchise rights. Major assets that will be used in your business for more than a year are known as "capital assets" and are subject to special depreciation treatment under the tax laws.
Depreciation is claimed on Form 4562, and a separate Form 4562 must be filed for each different business activity you engage in.
Form 4562, Depreciation and Amortization (standard .pdf file)
Form 4562, Depreciation and Amortization (fill-in .pdf file)
The file is in Adobe portable document format (PDF), which requires the use of Adobe Acrobat Reader.
To get a free version of Adobe Acrobat Reader software, go to the Adobe web site.
For more information, see our discussion of capital assets and depreciation.