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This method depreciates assets every year by the same amount. Sometimes this method is called the cost price basis.

Find your asset's rate

You must find the depreciation rate used for your asset and the straight-line method.

Depreciate using the cost value

Every year depreciate your asset by its rate on the cost value.

How to depreciate an asset

If you bought office equipment for $10,000 and depreciated it by 24%, the depreciation amount would be $2,400. The adjusted tax value of the equipment would be $7,600. You would depreciate the equipment by $2,400 for each new year and continue to update its adjusted tax value.

What happens next

Each year claim the amount of depreciation on your assets as a business expense.

5 Mins
Depreciation claim calculator

Use this calculator to work out depreciation on a business asset.

Go to this tool