It does make some logical sense, but I don't see how it would be worth the hassle, especially when you consider that it only "works" in the long term scenario but creates all sorts of cash flow problems in the short term.

And THAT is the real question. Does it make economic sense long term. I can’t believe I got downvoted by saying from an accounting perspective it makes sense to test it like any other asset. But does it promote a better outcome if we do? We have all sorts of accelerated depreciation schedules for tax purposes, to promote certain activities. Note that for financial reporting purposes it’s possibly what some companies already do. Even though they expense it for tax purposes. We’re just talking about taxable, not GAAP income.