This article will assist you with, processing a property depreciation disposal. This step is only essential when the property has a Depreciation Creation in Class.
You will complete this after Processing a Property Sale.
Navigate to Fund Level >Investments > Depreciation Worksheet
After processing the Property Sale Settlement, you will see a Residual Book Cost amount in red on Depreciation Worksheet. This is because the disbursements capitalised on settlement have not been added to the worksheet.
- Click Create New and add items
- Enter Description
- Enter Purchase Date (the asset "this is a date before the contract date of disposal")
- Enter the Depreciation Type ("Not Applicable (N/A)" is if the item is a capital item relating to disbursement from settlement)
- Click Save.
After you have added the capitalised disbursements paid on settlement, there should be a nil Residual Book Cost amount. Click on Sell All
You have now completed the property disposal, the property capital gain or loss will be calculated when you run a Period Update.