Depreciation as per Income Tax - AX 2012R2 - India

Hello All,

I am trying to calculate depreciation on fixed asset in AX 2012 India version.

I am posting fixed asset acquisition through Depreciation Books.

Problem is coming while calculating depreciation from depreciation books, it calculates 100% of the value of acquisition.

It is not taking % which is defined in depreciation profile for that Fixed Asset.

Can any one suggest how to calculate depreciation as per Income Tax in AX 2012.?

Thanks in advance.



For calculation of the depreciation as per IT Act the value model related to that FA group had to be defined and then attach that value model to the fixed Asset group.

Fixed Asset–Setup–Value Model.

and in the depreciation profile which you are defining kindly check that for purpose of Income Tax the posting layer should be of “Tax” type.

Srikanth ,

Depreciation as per Income Tax , we need to define the Value model as Building - Tax with the posting layer Tax .

Directly from the depreciation books , we can caluclate the deprecation as Per IT act .

deprecation is calculated with value model is working fine, u can try with value model.

Thanks Srikanth,

Depreciation is currently calculated.

Problem is it is taking the value of depreciation same as acquisition.

Means 100 % of the value is coming.!!

How to resolve this.?




Please check, may be you have selected “full depreciation check box” at depreciation profile by mistake.


“full depreciation check box” is not selected.!

The same depreciation profile is working fine in other value model, but having trouble in calculating depreciation as per Income Tax from depreciation book journal.



Hi Jainal ,

Did you find the solution ?

Hello Ameen,

There is a bug in to depreciation calculation as per Income Tax.

Microsoft has release a various hotfixes which are covered in CU-7.

In that now depreciation calculation is coming correct.



Hi Jainal,

Could you share Hot fix link , because i am also facing the same problem .

Hi Jainal,

Could you share Hot fix of MS URL link , because i am also facing the same problem .

Still figuring out on how to calculate ‘depreciation’. In the mean time if anyone want to know on how to calculate Income Tax, here is a source: