Percentage Depletion

Description and Definition of Percentage Depletion

A deductible expense, similar to depreciation, allowed for the using up or depletion of a natural resource, such as timber or minerals. This method applies a fixed percentage to the gross income generated by sales.

Resources

See Also

Further Reading

• Percentage Depletion in the West's Tax Law Dictionary
• Percentage Depletion in “A Dictionary of Taxation”