German Fixed Asset Low Value Asset Depreciation

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Hello All,

I was wondering if you can assist me with a question in regards to German fixed asset depreciation. I am currently helping a client in the US and I received a requirement for their German subsidiary about depreciating low value assets. The German entity in AX has the German localization, but as I look through my resources, it appears that the low value asset depreciation functionality is only activated with the Australian localization. From your experiences, how have you dealt with low value asset depreciation for German organizations?

Thank you for all your help!

Best,

Fahad

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Ludwig Reinhard Microsoft Employee on at

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Hi Fahad,

For Germany two different options exist in regards to accounting for low value assets. The first one is an immediate depreciation of the low value assets that have a value below 410 EUR. The second option is setting up a single fixed asset for each year ("fixed asset pool") where all small value assets are posted to and which is depreciated over 5 years. Additions are posted on this "pool" but issues are not recorded and the depreciation method is just a simple straight line depreciation over five years. Please have a look at this site that you can translate into English e.g. by Googletranslate de.wikipedia.org/.../Geringwertiges_Wirtschaftsgut You will find some additional Information there.

(Note that you do not need using the Australian low value pool feature).

Hope this helps,

Ludwig

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Community Member on at

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Thank you, Ludwig!

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Community Member on at

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[quote user="fahaddurvesh"]

or Germany two different options exist in regards to accounting for low value assets. The first one is an immediate depreciation of the low value assets that have a value below 410 EUR.

[/quote]

Hello Ludwig,

Can you explain how you set up the first option for Germany ?

Thanks

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Ludwig Reinhard Microsoft Employee on at

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Hi Antoine Leblanc,

For the immediate depreciation option you can setup a fixed asset group with a lifetime of 1 single period. After acquiring the fixed asset and running the first depreciation, those fixed assets will be fully depreciated.

Best regards,

Ludwig

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Juergen Weber 2 on at

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Hello Ludwig,

since I am not the specialist in fixed asset management, one further question concerning the immediate depreciation. I understand the principle and thank you very much for the information in that discussion, but a customer of mine has asked me how they can manage it to have a reminder value of 1,00 EUR left on the fixed asset after the immediate depreciation?
Is there any setup on possible to only depreciate the value down to 1,00 EUR reminder value?
Thank you very much!
Best Regards
Juergen

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Ludwig Reinhard Microsoft Employee on at

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Hi Juergen,

Please enter a sales value of 1.00 EUR in your value model / book.

This should depreciatate the fixed asset value down to 1.00 EUR.

Best regards,

Ludwig

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Juergen Weber 2 on at

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Hi Ludwig,
Super and thank you very much for this quick answer!
Best Regards
Juergen

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