Depreciation is a mandatory procedure provided for by tax legislation. Depreciable property is understood as all property of the enterprise and the results of intellectual activity that belong to it by right of ownership and are used to obtain economic benefits.
Instructions
Step 1
Depreciation of property can be calculated on a straight-line basis. It implies the calculation of depreciation based on the original value of the property and the depreciation rate established in accordance with the useful life of this fixed asset.
Step 2
In this case, the useful life is understood as the period during which an item of fixed assets is able to bring income to the enterprise or serve for the purposes of its activities. The useful life is determined in accordance with the Classification of Fixed Assets established by law. In it, all property is divided into 10 depreciation groups, each of which is assigned its own useful life.
Step 3
The useful life is established by the organization at the time of acceptance of the object for accounting on its own. It is determined based on the expected performance or capacity of the facility, the expected physical deterioration, depending on operating conditions and the impact of an aggressive environment, regulatory restrictions on the use of this facility, for example, the lease term.
Step 4
If the originally adopted standard performance indicators of an object of fixed assets have improved as a result of the modernization or reconstruction, then the enterprise has the right to revise the useful life of this object.
Step 5
Let's consider an example of depreciation in a linear way. The cost of the property taken into account at the enterprise is 200,000 rubles. In accordance with the classification of fixed assets, this object belongs to the third depreciation group, which corresponds to a useful life of 3-5 years. The enterprise has established a useful life of 5 years. Accordingly, the annual depreciation rate will be 20% (100% / 5 years). Then the annual amount of depreciation deductions will be 40,000 rubles. (200,000 * 20% / 100%). Consequently, the monthly depreciation amount will be 3333, 33 rubles.
