Investment Support and Special Depreciation 

Use

In many countries, tax laws allow you to calculate special depreciation during the asset under construction phase. In certain cases, you can deduct investment support amounts directly from the production costs of the asset under construction.

Features

Special Depreciation

Depreciation is calculated and posted to the general ledger for an asset under construction belonging to an investment measure, just as it is for "normal" assets in Asset Accounting. You have to assign a depreciation key to the asset under construction for this purpose. You enter this depreciation key in the asset class, so that it will be proposed as a default value (in Customizing for Investment Management: Master Data ® Assets under Construction).

For more information on asset depreciation, see the documentation for FI-AA - Asset Accounting.

Investment Support

You post investment support directly in the Asset Accounting (FI-AA) component to the asset under construction. There is no updating of the accompanying order or WBS element. The support measure, therefore, does not appear in the order as an actual amount. For more information on the how investment support is handled in Asset Accounting, see FI-AA - Asset Accounting .

You can jump directly to the master record of the asset under construction from the master data transaction for the order or WBS element, under Extras.

At the full settlement of the investment measure (asset under construction), the system determines the support amount to be settled in proportion to the settled APC amounts.

Investment support that was granted in the year the asset was completed (year of capitalization) cannot be charged to the asset under construction. Instead, they must be posted directly to the completed assets.

See also:

Periodic Posting of Investment Support