Seasonal Assets Like Yachts and Snowmobiles: Depreciation Only During Months of Use

Fixed assets used only seasonally — such as sailboats, motorboats, water bikes, snowmobiles, sledges and skis — must be depreciated solely in the months they are actually in use, not over the full year. This rule differs from standard annual depreciation applied to most business assets. It is a key consideration for businesses accounting for seasonal recreational equipment.