Diffen âº Legal. Negligence is a failure to exercise the care that a reasonably prudent person would exercise in like circumstances. In tort law, negligence applies to harm caused by carelessness, not intentional harm. Malpractice is a type of negligence; it is often called professional negligence. It occurs when a licensed professional (like a doctor, lawyer or accountant) fails to provide services as per the standards set by the governing body (standard of care), subsequently causing harm to the plaintiff.
Leasehold improvements have different depreciation rules depending on whether you are working with U.S. tax basis financial reporting or U.S. generally accepted accounting principles (GAAP) financial reporting. For tax purposes, leasehold improvements are eligible to be depreciated over 15 years. The 15-year rule was enacted by the Internal Revenue Service (IRS) in 2004. Prior to that year, the depreciation term was 39 years. The 15-year rule is not permanent and must be reauthorized every year.
3) Building and tenant improvements. Most non-residential building improvements are depreciated for tax purposes over 39 years (residential over 27.5 years). Some commercial building improvements made pursuant to a lease may qualify for a shorter 15 year tax life. Other asset additions may qualify for even shorter 5 or 7 year depreciable lives.