Description:

New Zealand's Investment Boost legislation allows eligible fixed assets to receive a 20% bonus depreciation deduction. While Dynamics 365 Business Central supports Bonus Depreciation when no prior depreciation has been posted, there is currently no straightforward way to apply Bonus Depreciation to assets that have already been depreciated.

Today, users must either:

• Reverse existing depreciation entries, enable Bonus Depreciation, post the bonus, and then recalculate depreciation, or
• Configure and use the Custom1 FA Posting Type as a workaround for backdated scenarios.

Suggested Enhancement

Provide a standard method to apply Bonus Depreciation to eligible fixed assets that already have depreciation entries, without requiring reversal of depreciation history or use of Custom1.

Possible approaches include:

• Allow the standard Bonus Depreciation FA Posting Type to be used directly in Fixed Asset Journals for backdated adjustments.
• Introduce a dedicated "Backdated Bonus Depreciation" posting type.

Business Value

• Helps organizations comply with legislation introduced after assets have already been acquired and depreciated.
• Reduces manual work and risk of incorrect configuration.
• Improves consistency of Fixed Asset reporting and auditing.