If more than 40 percent of all personalty purchased during the year is placed in service during the last quarter of the year, the mid-quarter convention must be used.

Question

Quizplus · Accepted Answer

The mid-quarter convention is applied for depreciation purposes when more than 40% of the personal property (other than real estate) is placed in service during the last quarter of the tax year, requiring assets to be depreciated from the midpoint of the quarter in which they are placed in service.

If More Than 40 Percent of All Personalty Purchased During