| Scroll ignore | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ||||||||||||||
Variance Import Approvals Contract Management Software Delivery Asset Masters Software Depreciation Mapping Others Approval Matrix Deactivation Approval Matrix |
| Scroll export button | ||||||||
|---|---|---|---|---|---|---|---|---|
|
Most of the organizations use Depreciation methods according to Generally Accepted Accounting Principles, or GAAP, to expense their Assets. In the SummitAI application, the Depreciation of Assets is calculated by selecting the default formulae, Straight Line or Down Value method (see: Configuring Depreciation Formula).
GAAP Depreciation Reports
The SummitAI application also generates Depreciation Reports based on India-GAAP and US-GAAP. For generating these reports, GAAP Depreciation must be configured in the SummitAI application (see: Configuring GAAP Depreciation). Following are the types of Depreciation Reports based on GAAP:
- Asset Depreciation by All Categories Report
- Asset Depreciation by Category Report AM
- Scheduled and Provisional Depreciation Report
To configure a new GAAP Depreciation:
Select Asset > Configuration > Depreciation > GAAP Depreciation.
On the GAAP DEPRECIATION page, the FILTERS pop-up page is displayed. Select the Category Type and click SUBMIT to view a list of GAAP Depreciation based on the filter criteria.
On the ACTIONS panel, click ADD NEW. Select the Tenant and type in the new GAAP Depreciation details. For more information about the fields on the GAAP DEPRECIATION page, see Field Description.
Click SUBMIT. A new GAAP Depreciation Method is configured.
Figure: GAAP DEPRECIATION page
Anchor Field Description Field Description
Field Description
| Field Description | |
| Field Description |
The following table describes the fields on the GAAP DEPRECIATION page:
Field | Description |
|---|---|
DETAILS | |
Category Type | Select a Category from the list. |
Sub Category | Select a sub Category from the list. |
Gaap Type | Select a GAAP type from the list: India GAAP and US GAAP. |
Month | Select a month from the list to calculate the depreciation from the selected month. |
Rate of Depreciation (Company Act) | Specify the rate of depreciation as per Company Act. |
Rate of Depreciation (Income Tax Act) | Specify the rate of depreciation as per Income Tax Act. |
Cut-Off Date | Specify the cut-off date to capture the Asset Depreciation details for the last 180 days according to the Income Tax Act. |
Depreciation Method | Select a depreciation calculation methodology: Straight Line and Down Line. Note: Depreciation Method is only applicable to the Rate of Depreciation (Company Act). |
Depreciation Start Date | Click the Calendar icon to select the period from when the GAAP Depreciation is calculated. |
Depreciation Start Date | Click the Calendar icon to select the period till when the GAAP Depreciation is calculated. |
Residual Value | Specify the Residual Value based on which the Final Depreciation amount is calculated. If the Useful life of an Asset is less than or equal to 5 years, the Residual Value is 1 INR, by default. If the Useful life of an Asset is greater than 5 years, the Residual Value is 5% of the original cost. |
Calculate Depreciation Based on Date of Purchase | Select this check box to calculate the GAAP Depreciation by considering the Asset from its date of purchase. If not selected, the GAAP Depreciation is calculated by considering the Asset from the updated date and time of Asset in the application. |
Calculate Depreciation For Inactive Assets | If selected, the GAAP depreciation is calculated for the inactive Assets under the Income Tax act. |
Active | Indicates the status set for GAAP Depreciation configuration.
|
ACTIONS
The following section explains all the icons on the ACTIONS panel of the GAAP DEPRECIATION page.
SHOW LIST
Click SHOW LIST to display the LIST table showing the configured GAAP Depreciations. On the FILTERS pop-up page, select the Category Type from the list and click SUBMIT.
Figure: GAAP DEPRECIATION page: List of GAAP depreciations
To update a GAAP Depreciation Method, click the configured Category. Make the appropriate changes and click SUBMIT.
Note title Note: When the GAAP Depreciation Methods are displayed under the LIST table, the ADD NEW action is displayed on the ACTIONS panel. Click ADD NEW to configure a new GAAP Depreciation Method.
| Scroll ignore | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ||||||||||||||
Release Notes | Installation Guide | Other Documents |