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Changing Useful life (in years) in depraciation areas for some asset class

Hi all

We want to change Useful life (in years) in depraciation areas for some asset class (From 4 years to 10 years). Is there a risk of retroactivity of the depreciation since capitalization date for assets inluded in these asset class when executing the next depreciation program?

thanks for your help.

Bonjour tous le monde,

Nous voulons procéder au changement de l'estimation de la durée (en année) d'utilisation et de l'amortissement pour certaines catégories d'immobilisation. Y a t il un risque de rétroactivité de l'amortissement depuis la mise en service des immobilisations faisant partie de ces catégories lors de l'exécution des prochains programmes d'amortissement

Merci pour votre réponse.

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2 Answers

  • Best Answer
    Dec 27, 2017 at 10:00 AM

    Hi,
    1) If you change the useful life in a asset class it will not have any impact on already created asset, only on asset created in the future. The asset class is a kind of “initial value”. Old assets are not interested on this changings.

    2) If you change the useful life on an existing asset (not unusual) it will have an impact on all open fiscal years. Of course not for closed fiscal years. If you want to adjust the values in closed fiscal years you should use write-up (tr. ABZU) / unplanned depreciation (tr. ABAA)

    best regards

    Bernhard

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  • Dec 25, 2017 at 04:39 PM

    It depends on how the depreciation key is configured.

    In our system, it is remaining net book value over useful life so there's no retroactivity

    Best thing for you to do is to test it in your development or test system

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