D365 Fixed Asset Posting Profile – Best Practice for Disposal (Scrap) Configuration

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Posted on by Ashleyyri

Hi all,

I’m looking for best practice guidance on configuring Fixed Asset Posting Profiles for Disposal – Scrap in D365.

Current Issue
When reviewing disposal transactions, we’re not seeing a clear separation of:

Asset cost removal
Accumulated depreciation clearing
Gain/Loss recognition

Instead, the entries appear to be netting into a single account.

What We Noticed

Ledger accounts (Disposal – Scrap/Sale)
- Main and Offset accounts are currently the same (P&L)
Disposal setup
- Sales value type = All (gain/loss combined)
- Post value types (Net book value) are not defined

Questions

For Disposal – Scrap, should:
- Main and Offset accounts be different (or offset left blank)?
Is it best practice to:
- Separate Gain vs Loss instead of using “All”?
Should all Post value types (especially Net book value) be defined to ensure proper posting?
Should D365 disposal entries fully break out:
- Cost
- Accumulated depreciation
- Gain/Loss

Goal

Configure D365 to produce clear, standard disposal entries and provide full visibility into the asset lifecycle.

Any examples or recommended setups would be appreciated!

Categories:

Dynamics 365 Finance

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André Arnaud de Cal... 305,424 Super User 2026 Season 1 on at

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Hi Ashleyyri,

For disposal (sales or scrap) you need to configure additional disposal parameters. The upper grid usually has indeed the same Main and offset account. Using the bottom grid, you can manage which posting types will be reversed and what accounts will be used. The net book value usually has the same accounts, but other types like depreciation prior years and this year do have differences between the main account and the offset account.

The total posted amount per post value will be deducted from the main account (balance accounts) and posted towards the offset account. In case there was a net book value when scrapping the asset, the result will be visible on the offset account. See as example the screenshot below.

The exact implementation depends on the details of main accounts in the chart of accounts. I had a quite tricky scenario in the past where investments for the current year were posted on one account where that balance was moved to another account for investments in prior years. Such scenario requires some additional thinking.

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Ashleyyri on at

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Thank you so much André, for the quick response/support!!

This is really helpful and clarified the distinction between the top and bottom sections of the posting profile.

Based on your explanation, I took another look at our setup.

I noticed that within the Disposal (bottom) section, all of our post value types (depreciation, acquisition, adjustments, etc.) are currently mapped using the same main and offset accounts. It sounds like this may be the root cause of why we’re not seeing a clear breakout of asset cost, accumulated depreciation, and gain/loss in the voucher.

We also do not currently have a specific mapping defined for Net book value, which I’m now thinking is a key piece in driving the gain/loss behavior.

Does that sound consistent with what you would expect?

As a next step, I’m planning to update the disposal configuration so that:

Depreciation-related post values reverse between accumulated depreciation and asset accounts

Net book value is mapped to flow from the asset account to the gain/loss account

Before making those changes, I just wanted to confirm that this approach aligns with best practice.

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