Current YTD Depreciation decreased on the Tax Workbook from August to September.

I disposed of a auto on 09/07/2021. In the Tax Workbook on 08/31/2021 the Current YTD Depreciation on this auto was $740.92. When I disposed of the auto on 09/07/2021 the Current YTD Depreciation is $555.69. How did the depreciation decrease from Aug?

  • Hello Maria Todd,

    Without all the asset detail and the company Year End setup I can only guess/assume that the Tax book depreciation method is MACRS like MF200 which is a half year convention method. The depreciation decreases in the year of disposal if more than 6 months is present on the asset at the time of the disposal.

    ~ Lovisa