Low-cost fixed assets
This article provides information about low-cost fixed assets for Hungary.
A low-cost asset is an asset for which the acquisition cost doesn't exceed a predefined amount. Hungarian tax law defines the limit (threshold) for low-cost assets. These assets can be fully depreciated at the same time that they are acquired.
Set up the low-cost asset threshold
To set up the limit for low-cost assets, click Fixed assets > Setup > Fixed assets parameters. Then, in the Low-cost asset threshold field, enter the value limit for low-cost assets.
Set up books for low-cost fixed assets
When you create an acquisition transaction for an asset that uses the book for low-cost assets, depreciation is generated automatically.
- Click Fixed assets > Setup > Books.
- Select the book for low-cost assets, and select the Low-cost asset check box.
Note: Only value models that use the "Manual" or "Straight line service life" depreciation profiles/global methods, or the Hungary-specific "Straight line (Hu)" method, are available for low-cost depreciation.
Generate acquisition and depreciation transactions for low-cost fixed assets
When you acquire an asset, you create an acquisition transaction from the pre-acquisition transaction. When you post the acquisition transaction for a low-cost asset, the depreciation transaction is generated automatically.