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Former Member
Oct 11, 2011 at 03:13 PM

New Assets Held for Less Than 180 Days



Can any one give some suggestions foe following issue.

New Assets Held for Less Than 180 Days

If you purchase an asset less than 180 days before the end of the fiscal year (financial year), depreciate it at half of the normal rate of depreciation.

For example, on 1 October 2011 its coming less than 180 days so according Indian income tax we have to pay half of depreciation again next year its continue full depreciation.

If asset purchase on 01.12.2011 Rs.250000 at rate of 10% for 5 years useful life.

*1ST year 250000 x 10/100 122/366 = 8333.33/2 only this amount need to change remaining year constant.

2nd year 250000 x 10/100 12500

3rd year 250000 x 10/100 12500

4th year 250000 x 10/100 12500

5th year 250000 x 10/100 16666.69

How to default setting this requirement

the system handles this requirement by taking half the acquisition cost and calculating depreciation on that.

We tried using bellow shown BADI. We are not able meet our requirement.