Applicable Convention

Please note that the content of this book primarily consists of articles available from Wikipedia or other free sources online. An applicable convention, as presented in 26 U.S.C.
168(d) of the United States Internal Revenue Code, is an assumption about when property is placed into service. It is used to determine when property depreciation begins. The purpose of applicable conventions is to simplify depreciation because they do not require a taxpayer to prove to the IRS when every piece of depreciable property was placed into service.