Methods of calculating depreciation: a general characteristic
The tax legislation provides foraccrual of depreciation in two main ways. When used, the amount of depreciation is calculated in order to reflect the amount of tax, which is determined in accordance with its norm and depending on the life of the facility. The depreciation value is calculated independently for each object.
According to the Tax Code, the linear method of accrualdepreciation is used by the taxpayer to such objects as buildings and structures. All these facilities are 8 - 10 groups. In relation to other objects, taxpayers have the right to use any method of calculating depreciation, however, it is necessary to comply with the condition - the method of calculating depreciation can not be changed during the period that provides for its accrual. For example, if linear, the value of depreciation is calculated depending on the initial value of the object, or the value of the replacement value is applied, in the event that the revaluation of the object was carried out. If you use a non-linear method, depreciation is calculated only on the amount of the residual value, and it is necessary to comply with the condition that the method of calculating depreciation in this case can be changed at a residual value of not more than 20% of the original value.
In addition to these, there are also the followingmethods for calculating depreciation. These are: - the method of decreasing balance; - accelerated method; - method of proportional write-off; - The method of write-off in accordance with the number of years of useful operation. These methods of calculating depreciation are also allowed for application by the tax legislation of the Russian Federation, but their application is advisable only in those cases for which they are actually developed. Let's take a closer look at these depreciation methods.
When using the methodology of a decreasingthe amount of the annual amount of deductions is determined on the basis of the residual value of the object's value. For calculation, the beginning of the reporting period and the depreciation rate are taken. The formula has the following form: A = Comp x K x Na / 100, in which: Comp is the residual value of the accrual object in question, K is the acceleration coefficient, and Ha is the depreciation rate. A feature of this method is the fact that, when applied, the initial cost will never be written off. The advantage is that this method can be written off the maximum value of the value of the object at the very beginning of its operation.
When using the proportionalthe calculation formula looks like this: A = First x Toast / Tx (T = 1) / 2, where: First - the initial cost of the accrual object under consideration, Toast - the period until the end of the useful life period in years, T - useful life. When applying this method during the current reporting period, depreciation charges each month in the same amount equal to 1/12 of the annual value.
If you use the cancellation methodin proportion to the volume of output, the calculation formula takes the following form: A = C / B, where: A is the depreciation value per unit of output, C is the initial value of the object in question, is the estimated value of the output. Advantage and scope of this method is preferable if wear is directly caused by the intensity of operation.
Applied depreciation methodsprovide and the accelerated way at which there is a fast transfer of a book cost of object on costs. This method is used, as a rule, in the case when enterprises or organizations produce mass technological re-equipment of production. Such a methodology helps to accelerate the process of improving enterprises, and in addition, it helps to reduce their taxes on profits.