How does amortization affect your taxes?
a. Amortization increases the value of your assets
b. Amortization increases your annual tax refund.
c. Amortization reduces your taxable income.
d. Amortization reduces the resale value of your assets.
c. Amortization reduces your taxable income.
Amortization allows you to deduct the costs of certain assets, such as intangible assets or improvements to tangible assets, over their useful life instead of all at once. This reduces your taxable income, leading to potential tax savings.