How to: Calculate Retrospective Depreciation

Microsoft Dynamics NAV includes enhancements for India that allow you to calculate retrospective depreciation.

If updates are made to the Companies Act or the Income Tax Act, then you must create a new entry in the Retrospective Effect of Depr. window, and change the depreciation method accordingly. For example, when you create an entry using the Declining-Balance 1 depreciation method, you must enter a value in the Proposed Declining-Balance 1 % field. For more information, see Declining-Balance 1.

After you enter the value in the Proposed Declining-Balance 1 % field, run the Calc. Retrospective Method batch job to view the changes in the balance sheet. For more information, see Chart of Accounts Window.

To calculate retrospective depreciation

  1. In the Search box, enter Retrospective Effect Of Depr., and then choose the related link.

  2. On the Home tab, choose New.

  3. In the Retrospective Effect Of Depr. window, on the General FastTab, fill in the fields as described in the following table.

    Field Description

    Depreciation Book

    The depreciation book code.

    Proposed Depreciation Method

    Specify Declining-Balance 1 as the proposed depreciation method.

    FA Class Code

    The fixed asset class code.

    FA Subclass Code

    The fixed asset subclass code.

    FA Filter

    The fixed asset number.

  4. On the FA Retro Books Subform FastTab, fill in the fields as described in the following table.

    Field Description

    FA No.

    The fixed asset number.

    FA Posting Group

    The fixed asset posting group.

    Depreciation Starting Date

    The starting date for the depreciation.

    Depreciation Ending Date

    The ending date for the depreciation.

    Proposed Declining-Balance %

    The declining balance percentage.

  5. On the Navigate tab, in the Function group, choose Calc. Retrospective Method.

    The retrospective depreciation is calculated.

  6. Choose the OK button.

See Also

Tasks

How to: Set Up Tax Depreciation
How to: Calculate Depreciation
How to: Print Retrospective Depreciation

Concepts

Tax Depreciation

Other Resources

Depreciation Book Card Window
Chart of Accounts Window
Declining-Balance 1
Declining-Balance 2