Fixed Assets changes in depreciation
Hi All, We are importing Assets from an existing system into Advanced. The issue we have relates to tax book depreciation regulations that have changed over time. Originally an asset would be straight line at 2% so accumulated depreciation had been calculated on the old system. Then at some point, the tax depreciation rate changed to zero for a number of years and is now about to change back again. After importing the asset, the first calculation of tax book depreciation, the system assumes the depn is incorrect and recalculates it for the periods that it should have been zero. These are large cost assets so the calculation created very large discrepancies in the expected deprn value. The normal way to address this would be to suspend the asset, however this is awkward as suspending it stops any depreciation from being calculated for both tax and accounting books. If it could be suspended by book it would be a much better option. Straight line and useful life makes it difficult to calculate what the settings should be used to stop the system from calculating the depn for the 0% periods. I am suggesting we duplicate the assets by having a tax book asset and an accounting book asset to work around this. Has anyone else experienced this issue and if so how did you address it. Appeciate any feedback.