The main Company code is in US.It is doing an Indian rollout.For Income tax requirements in India,the FY has to be 'April-March'.We are trying to implement the Asset Accounting module alone for India.
Now,
1.The global fiscal year variant is 'Jan-Dec'.But for the India company code,for tax requirements depreciation calculatioin has to be done as per fiscal year'April-March'.
2.As per the Indian Companies Act,depreciation is charged as per straight line method to date.Hence under the Companies Act,for a leap year,the number of days is 366(eg. FY-2012 Jan-Dec)
3.For tax depreciation area,the same FY(i.e 2012-13 April to March) has 365 days for depreciation calculation.
This is causing a difference due to the difference in number of days i.e 365(per global fiscal year variant) and 366(for Indian tax requirements).
Experts,please give your comments as to how do we do this configuration in AA,so that we can comply wiith both US and Indian statutory requirments.
Thanks in advance.
Edited by: gauravsoni on Dec 9, 2011 4:30 PM