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Which of the following Code Sections covers the topic of amortization?

a.Section 199
b.Section 179
c.Section 195
d.Section 197
e.Section 198

User Knickedi
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Final answer:

The Code Section that covers amortization is Section 197, which allows for the straight-line amortization of certain intangible assets such as goodwill over a 15-year period.

Step-by-step explanation:

The Internal Revenue Code (IRC) Section that covers the topic of amortization is Section 197. Amortization refers to the gradual write off of the cost of certain intangible assets over a period of time for tax purposes. IRC Section 197 specifically deals with the amortization of goodwill and certain other intangibles.

It allows for a straight-line amortization over a 15-year period. For example, if a business acquires an intangible asset, such as a patent or copyright, they can generally deduct a certain portion of its cost each year over this 15-year period.

User Jollyra
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