Fixed Asset Tax Depreciation Set up

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Posted on by Samantha73

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Hi All,

I'm trying to set up fixed asset tax depreciation. I thought the only difference between Tax and Accounting (company) is that Tax depreciation book has GL integration turned off. So I purchase an asset it will show the value in both tax and Accounting however after running depreciation, GL entries will only post to Accounting Book (Company) but sub ledger for FA will show both Tax and Accounting. Reporting can be done on any of the books. On the purchase invoice lines i can see a column for depreciation book so now my question is how to set up the system so acquisitions are reflected in both books but still we can have for example accelerated depreciation for tax book

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Samantha,

The additional Deprecation Books entries, you are correct they are NOT integrated to the G/L. You will need to do a few more steps to both create the Acquisition and book Depreciation within those Tax Books.

First, in the Tax Depreciation Book, on the Duplication Fast Tab, did you turn on Part of Duplication List? Turn this on.

On the Purchase Line, make sure the field Duplicate in Depreciation Book is there. Enter the Tax Book you want to duplicate into and the Acquisition Cost will post there.

As for Depreciation, you will need to run Depreciation for the Tax Book separately, since this will use the FA Journal to record depreciation for that Tax Book. If you have more than 1 Tax Book, you run them separately.

Hope this helps.

Thanks,

Steve

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Samantha73 3,247 on at

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Hi All

Can the system automatically enable (tick box ticked) "use duplication" list when purchasing assets as the users forget this option and as a result the draft FA TAx journal is not created?

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