ADS, Straight-Line MACRS (Method AD)

Method AD is used for property for which the Alternative Depreciation System (ADS) is required or elected. It applies a straight-line calculation and the appropriate averaging convention, half-year or mid-month, based on the property type and the estimated life of the asset. Assets using method AD will appear in the appropriate section of IRS Form 4562 for ADS property.

The half-year averaging convention can be switched to the midquarter convention, if required.

Salvage value, if any, is ignored as required for all MACRS methods.