Sage Fixed Assets: How To Add Section 179 Bonus

Description

• Can FAS allocate 179 expense automatically for eligible assets?
• How to add Section 179?
• How to enter 179 bonus depreciation for an existing asset?
• How to add section 179 bonus?
• How to apply the Section 179 bonus?
• How to enter Section 179?
• Can FAS allocate Section 179 expense globally or automatically?

Backup Warning

Use caution when working with the below product functionality. Always create a backup of your data before proceeding with advanced solutions.

Resolution

NOTE: See Additional Information for YouTube video link regarding this topic.

NOTE: Since Section 179 expense is a critical value of depreciation, it must be entered on an asset-by-asset basis.

In Sage Fixed Assets:

1. In the Asset Detailview: Enter a value for 179/bonus.
2. The Section/Bonus Detail[Book]window will open.
   1. Ensure Qualified Section 179 Propertybox is Checked.
   2. If the asset is a Qualified Disaster Zoneasset: Select the appropriate Zone Type: from the drop box.
   3. Ensure the Section 179 Amountis correct.
   4. If applicable: Select the correct Codefor Section 179B, 179C, 179D, 179E, 179O or Other, Enter the correct amount applied to the code.NOTE: Any amount entered under the 179B, 179C, 179D, 179E, 179O or Other section will not appear on the 4562 report.
   5. Ensure the Total Section 179/Bonus Amountis correct.
   6. Click OK.
3. If depreciation has been ran on the asset, there will be two prompts:
   1. Answer Yes.
   2. Select the Placed in Service
   3. Click OK.

NOTE: Since the Section 179 bonus is a reduction of the depreciable basis on an asset the depreciation needs to be reset to the Placed in Service date to allow the Sage Fixed Assets program to recalculate correctly.

NOTE: To check if the allowable Section 179 allocation limits have been exceeded: In Sage Fixed Assets, go toDepreciation menu, Audit Advisor.

NOTE: If the Asset was a transferred Asset then any 179 or 168 Bonus changes should always be applied to the Parent Asset which means that the Transfer would need to be deleted, freeing the Parent Asset for the bonus adjustment. The transfer can then be reapplied. For this transfer the program will allocate the bonus amounts between the Parent and Child (not all of it will stay with the Parent)