Entering Software Assets into Sage Fixed Assets

These Assets can be either Amortize or take the 168(k) Allowance.

1. 167 property: Depreciated Property
   • Property type P
   • Method: SB
     • SB gets the 168(k) allowance.
       • On the 4562: 168(k) Allowance appears in Part II Line 14 in the year of Acquisition
       • On the 4562: Calculated Depreciation will appear on in Part II Line 16
   • Estimated life: 3 years
2. 167 property: Depreciated Property with Section 179
   • Property type P
   • Method: SF or SB (SF + 168(k) Allowance)
     • SB gets the 168(k) Allowance
       • On the 4562: 168(k) Allowance appear in Part II Line 14 in the year of Acquisition
       • On the 4562: Calculated Depreciation if any will appear in Part II Line 16
     • SF gets no 168(k) allowance
       • On the 4562: Calculated Depreciation if any will appear in Part II Line 16 in the year of Acquisition
   • Estimated life: 3 years
   • Enter the Section 179/Bonus Amount
     • Section 179/Bonus Amounts appears under Part I of the 4562 in the year of Acquisition
3. 197 property: Amortized Property
   • Property type Z
   • Method: SL
   • Estimated life: 3 years
   • SL does not get the Section 168(k) or Section 179
     • On the 4562: Amortized Property shows in Part VI Line 42 and 43.