There are two methods to calculate depreciation in tax accounting – linear and non-linear. You can also calculate tax depreciation using the tax non-linear group depreciation method. This method allows you to specify a depreciation rate for each group (depreciation factor for each subgroup) to calculate the depreciation amount accrued for each depreciation group/subgroup You can group the depreciation register lines by depreciation group or subgroup in the FA - depreciation (non-linear method), IA - depreciation (non-linear method), and FA - object information,and IA - object informationtax registers.

NoteFor more information, see (RUS) Calculate the fixed asset depreciation register, (RUS) Calculate the fixed asset object information register, (RUS) Calculate the fixed assets depreciation (nonlinear method) register, (RUS) Calculate the intangible assets depreciation (nonlinear method) register, and (RUS) Register lines (form).

Set up the method of depreciation

You can create a tax non-linear group depreciation method in the Depreciation methodform.

Note Note

For more information, see (RUS) Set up depreciation methodsand "Depreciation methods and conventions" in the Applications and Business Processes Help.

  1. Click Fixed assets> Setup> Depreciation groupsto open the Depreciation groupsform.

  2. In the Value modelfield, select the value model that the depreciation group is defined for.

    Note Note

    You must specify the posting layer as Taxfor the selected value model in the Value modelsform.

  3. Press CTRL+N to create a new line.

  4. Enter the depreciation group code and name in the FA groupand Namefields, respectively.

  5. In the Depreciation methodfield, select the Tax nonlinear groupmethod of depreciation.

  6. In the Lifetimefield, enter the maximum asset service life in months, during which depreciation will be accrued for the fixed assets within the depreciation group.

  7. Click the Generaltab, and in the Depreciation ratefield, enter the depreciation rate for the year.

    Note Note

    This field is available only if you select the Tax nonlinear groupmethod of depreciation.

  8. Click the Subgroupstab, and in the Depreciation subgroupfield, enter the identification of the depreciation subgroup.

    Note Note

    This tab is available only if you select the Tax nonlinear groupmethod of depreciation.

  9. In the Namefield, enter the description of the depreciation subgroup.

  10. In the Factorfield, enter the depreciation calculation ratio.

  11. Press CTRL+S or close the form.

Note Note

For more information, see (RUS) Set up depreciation groups.

Calculate fixed asset depreciation for fixed assets using tax non-linear group method

  1. Click Fixed assets> Common Forms> FA journalto open the Journalform.

  2. On the Overviewtab, press CTRL+N to create a new journal.

  3. In the Namefield, select a journal name.

  4. In the Descriptionfield, view or modify the description of the journal.

  5. Click Linesto open the Journal voucherform.

  6. Click Group operations> Group depreciationto open the Group depreciationform.

    Note Note

    If you select the tax non-linear group depreciation method, you cannot calculate depreciation for tax value model using the single or group depreciation function.

  7. In the Transaction datefield, select the date of the next calculation period.

  8. Click Selectto open the Inquiryform, and then enter the selection criteria for the fixed assets.

  9. Click OK. Depreciation transactions are created in the journal.

  10. Click Validate> Validateto validate the transaction details.

  11. Click Post> Postto post the journal. Fixed asset and ledger transactions are created.

Reverse fixed asset depreciation

  1. Click Fixed assets> Common Forms> FA journalto open the Journalform.

  2. On the Overviewtab, press CTRL+N to create a new journal.

  3. In the Namefield, select a journal name.

  4. In the Descriptionfield, view or modify the description of the journal.

  5. Click Linesto open the Journal voucherform.

  6. On the Overviewtab, click Group operations> Depreciation reversalto open the Depreciation reversalform.

  7. In the Reverse datefield, select a date for the depreciation reversal.

  8. In the Accountingfield, select a fixed asset value model.

  9. Click OK. Depreciation reversal transactions are created in the journal.

  10. Click Validate> Validateto validate the transaction details.

  11. Click Post> Postto post the journal. The fixed asset depreciation transaction is reversed and the ledger transaction is updated accordingly.

Calculate depreciation bonus

The depreciation bonus is an additional depreciation amount assessed during the first year for some asset types that are operational. You must set up a posting profile and create an acquisition journal before you calculate the fixed asset depreciation bonus.

Note Note

For more information, see (RUS) Register fixed assets in the system, (RUS) Create an acquisition journal for a fixed assetand (RUS) Calculate a depreciation bonus.

Use the Depreciation bonus initializationform to calculate depreciation bonus for fixed assets using the tax non-linear group method. When you create the depreciation transactions, depreciated bonus is calculated for every asset. The bonus amount is calculated first, and then the depreciation from the cost, excluding the bonus, is calculated. The bonus amount is not included in the total balance of the depreciation group.

See Also