German Fixed Asset Low Value Asset Depreciation

(0) Share

Report

Posted on by Community Member

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

*This post is locked for comments

I have the same question (0)

All responses (7)

Answers (2)

Verified answer

Ludwig Reinhard Microsoft Employee on at

Like (0)

Report

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

Was this reply helpful? Yes No
Community Member on at

Like (0)

Report

Thank you, Ludwig!

Was this reply helpful? Yes No
Community Member on at

Like (0)

Report

[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

Was this reply helpful? Yes No
Ludwig Reinhard Microsoft Employee on at

Like (0)

Report

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

Was this reply helpful? Yes No
Juergen Weber 2 on at

Like (0)

Report

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

Was this reply helpful? Yes No
Verified answer

Ludwig Reinhard Microsoft Employee on at

Like (1)

Report

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

Was this reply helpful? Yes No
Juergen Weber 2 on at

Like (0)

Report

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

Was this reply helpful? Yes No