Businesses are required to use IRS Form 4626 to determine the Alternative Minimum Tax (AMT) under section 55 that they are held liable for, unless they qualify as exempt. This post will address the purposes of form 4626, as well as the instructions for the form. If you are new to filing, and wonder what [...]
For those businesses that have sold any business property within the last year, the appropriate IRS form needed for filling would be IRS form 4797. Several reasons to use this form are stated below as they appear on the IRS website. Also, it is important to note that for 2009 filing, there are some new [...]
IRS Tax Form 4562 will begin a new series of posts covering the various tax forms and publications offered by the IRS when filing for depreciation and amortization expenses. Form 4562 is used by a business to report the deductible expense related to any business property purchased during the given tax year. Business property includes [...]
Depreciation Transfer Reports will be the type of report described in our fifth post on depreciation reporting. This report shows all of the transfer activity for a selected period or periods. It displays both sides (transferred out and transferred in) of the asset movement. The image at the bottom of the page shows a snap-shot [...]
Continuing from our asset acquisition reporting post, this post will address asset disposition reporting. This report displays all assets disposed between the selected period begin and end dates. Below, you will find the columns that should be included in such a report. Also, take a look at the sample report we have included to see [...]
Asset Acquisition Reporting will be the topic of our fourth depreciation reporting post.
This report displays all of the assets acquired between the selected period begin and end dates. The selected periods can be:
A single month
3 months or a quarter
6 months or half the year
12 months or the entire year
Any number of months to show year-to-date
When [...]
This will mark the third post in our coverage of depreciation reporting and will address the elements of monthly depreciation expense journal entries. This type of reporting is important to many professionals as most companies will report their depreciation expense on monthly financial statements. There are 2 main reasons to account for monthly depreciation expense:
To [...]
The second post in our depreciation reporting series will cover the elements of a depreciation roll forward report. This depreciation report displays the opening balance and then the asset activity during the reporting period. This means all the numbers are fluid and the report is read from left to right. Below is a picture of [...]
This post will begin a series of posts to help create an understanding of fixed asset depreciation reporting. Many companies use a variety of different software solutions capable of generating numerous reports. Such reports include roll forward reports, monthly depreciation expense reports, asset acquisition reports, and more. Here you will find the description of a [...]