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    Depreciation

    Taxpayer bought a business on 1-1-2011 and took over the old lease. He paid $15,000 for the "leasehold valuation". The old lease started on 1-1-2007 and the term is 5 years.

    So when taxpayer took over the lease, there is only 1 year remaining on the lease.

    How many years should the "leasehold valuation" be amortized over?

    #2
    From TTB, page 8-8:

    The cost of getting a lease is amortized over the term of the lease.

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