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Do legal expenses become part of the cost of an asset?


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The BIDaWIZ Team's Answer:

 All expenses that contribute to the acquisition and putting the asset into service should be capitalized.

 

Whether a legal expense is capitalizable depends on whether it falls under the above description. 

 

For example, legal fees including on the closing statement of a purchase of Real Property are capitalizable.  

The BIDaWIZ Team

 

 

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