Bonus depreciation setup

[Former Member]

I need help trying to tax reporting depreciation where the client posts 50% of acquisition value as bonus depreciation the 1st year with monthly depreciation at 50%.  The following years as noted below:

How do I setup my depreciation type and is there anything else I need to do?     Thank you!! - Lori

Acquisition Price	50,000
Date Placed in Service	1/10/2013
Depreciation Months	36
1st Year Depreciation
Period 1 -Bonus Depreciation	25,000
Period 1-12:
Monthly Depr - ((bonus Depr/3yrs)*.5)/12	347.22
2nd Year (NBV/24months)	868.06
3rd Year	868.06

[Former Member · Accepted solution]

No, I did not follow your advice by using manual depreciation.  I created a "Special" depreciation type for the first year calculation and then a "Multi-level" for the following years.  I set up the calculation tab to fit our situation and it worked. 

[Former Member · Accepted solution]

You have to setup special depreciation type manually, don't you?

Anyway, please close your thread.

[Former Member]

Hi,

You probably need to set the depreciation as manual until next year to make it auto.

Thanks,

Gordon

[Former Member]

Really?  There's no other work around with all of the depreciation types that are offered?

It creates more work for the client.  Thank you for your time Gordon and please excuse my frustration. 

Lori

[Former Member]

B1 is only an entry ERP package from SAP. The big brother R3/ECC from SAP can handle very sophisticated cases like this.

[Former Member]

There is a way....maybe I should post my solution?  I was able to book 50% depreciation and take monthly depreciation at 50% for the first year.  The second year it booked regular straight line depreciation.

All the help documents show a brief example of each depreciation type but not complex situations.

Regards

Lori

[Former Member]

That is great. Please close your thread. You are actually followed my advice to create manual depreciation for the 1st year, aren't you?