Amortization usually refers to spreading an INTANGIBLE
ASSET's cost over that asset's useful life and Depreciation
refers to writing down the value of the TANGIBLE ASSETS till
the end of its estimated life.

AMORTIZATION IS THE REDUCE THE VALUE OF INTANGEBLE ASSETS

REDUCTION THE VALUE OF FIXED ASSET DUE TO USE ,LEASE THESE 
CALLED DEPRICIATION

Depriciation: Writting off fixed assets due to the wear and 
tear, laps of time and accident.

Amortization: wrtting off intangible assets

deprication is the reduction the value of the fixed assets 
due to use ,lease 

amortization is the reduction the value of intangeble 
assets such as goodwill,trademark,patents.

Depreciation is reduction in the value of FIXED ASSESTS
which occurs due to use or lease.Depreciation is charged
only if the assest is put to use.


Amortization is utilizing the funds used for starting up the
business for tax purpose. For tax entire amount spend in
starting in business is not allowed. It needs to be
amortized for a period of 180 months under section 709(b) of
IRS.