Expired useful life after inter-company transfer of assets

[aman_goel]

Hello experts,

I am performing inter-company transfer of assets as on 01.05.2016 i.e. during the year. All the fields viz. capitalization date, ord. dep start date, useful life, expired useful life etc. are copied from the original asset. However I am facing below issue due to expired useful life,

Example:-

Asset XXXXXXX

Ord dep start date - 01.07.2014

Useful life - 5 years i.e. 60 months

Hence expired useful life as on 01.05.2016 should be 6+12+4 i.e. 22 months. However expired useful life in the original asset is only 18 months. It does not consider the 4 months of this year!! In sending company code, asset is already depreciated for 4 months of this year.

When we transfer the asset, since 4 months of current year are not considered in expired useful life, system posts depreciation for these 4 months again in the receiving company code which is incorrect.

Has anyone faced this issue earlier and what is the solution for this?

Would appreciate your response.

Kind Regards

Aman Goel

[former_member198650 · Accepted solution]

Hi Aman,

Check the period control method maintained for the dep.key for both the assets. Here you have to check what method have you maintained for transfers in AFAMP.

Regards,

Mukthar

[aman_goel · Accepted solution]

Hi Mukthar,

Thanks for your reply. Currently 99 - current month is assigned for transfers in the period control method. Which method will you suggest to assign?

Regards

Aman

[Former Member · Accepted solution]

Use the periodcontrol 01 for the depreciation key start base date is period not year.

[former_member198650 · Accepted solution]

Hi Aman,

Is it 01? If not, use it.

Regards,

Mukthar

[aman_goel · Accepted solution]

Hi Mukthar,

I tried assigning 01. It does not work.

Regards

Aman

[Former Member · Accepted solution]

could you please define the depreciation key you want and share the depreciation period controls here?

[former_member198650 · Accepted solution]

Hi Aman,

What is the value date given at transfer posting? And also what is the transfer method are you using?

Regards,

Mukthar

[former_member351125]

This is SAP standard, receiving asset will only copy the expired UL of the sender. The sender only have the expired UL from the prior year and not the current year. If you are doing Gross Transfer, there should not be any problem since you are also transferring the current year depreciation of the sender to the receiving asset. Calculation wise, there should not be any problem. I am only referring to PY asset  value transfer. There is a separate issue on the current year asset transfer.

I guess the problem might be your sender asset and receiving asset both calculate depreciation on the month of transfer, if this is the case, then it is wrong. Please check your period control method of your dep key.

Thanks!

Jhero

[aman_goel]

Hi All,

The issue is resolved. It was with the period control method assigned as mentioned by Mukthar. I changed the period control method and it is working as expected now.

Thank you all for your replies.

Regards

Aman Goel