How to enter software assets in Sage Fixed Assets?

Description

  • Section 179/Bonus is grayed out for property type Z.
  • 179 bonus depreciation field is grayed out when using property type Z.
  • Cannot enter 179 bonus depreciation with property type Z.
  • Cannot enter 179 bonus depreciation for off-the-shelf computer software.
  • SB is not a valid method with property type Z.
  • Unable to calculate 30% tax depreciation of Software.
  • Amortizable software.
  • Property type Z.
  • Unable to calculate 50% tax depreciation of software.
  • Off-the-shelf software.
  • Software.
  • How to enter software?
  • How to code software?

Resolution

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

  1. 167 property: Depreciated Property
    • Property type P
    • Method: SB
    • Estimated life: 3 years
    • SB gets the 168(k) 30%/50%/100% 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
  2. 167 property: Depreciated Property with Section 179
    • Property type P
    • Method: SF or SB (SF + 168(k) Allowance)
    • Estimated life: 3 years
    • Enter the Section 179/Bonus Amount.
    • SB gets the 168(k) 30%/50%/100% 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.
    • 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.